Paymybill - What is the IRS Form 1098-T?
University of Illinois is required to provide a completed IRS Form 1098-T to all enrolled students for whom a reportable transaction is made, then to report those students’ enrollment and summary financial data to the IRS. A reportable transaction is defined as tuition and fees a student must pay to be enrolled in a degree program.
The 1098-T form is used by eligible educational institutions to report enrollment and financial information about their students to the IRS
University of Illinois reports the payments received for qualified tuition and related expenses from all sources during the calendar year in Box 1 of Form 1098-T, and the total amount of scholarships and grants in Box 5 (up to $5,250 of graduate level tuition and fee benefits awarded to Graduate Assistants (GAs) and employees are reported in Box 5 of the IRS Form 1098-T; amounts exceeding $5,250 are reported on IRS Form W-2).: The reporting of scholarships and grants on Form 1098-T does not determine the taxability of those payments; it is the student’s responsibility, not the University’s, to determine the taxability of scholarships, fellowships and/or grants received.
For complete information about education tax credits, see the current versions of IRS Publication 970, Tax Benefits for Education, Form 8863, Education Credits, and Form 1040 or 1040A Instructions, or consult your tax advisor. For instructions on completing the form, see the current version of IRS Form 1098-T.
To see more information on the IRS Form 1098-T please review our 1098-T FAQs.