What is the 1098-T form?

The 1098-T form (“1098-T”) is used by eligible educational institutions to report information about their students to the IRS as required by the Taxpayer Relief Act of 1997. Eligible educational institutions are required to submit information pertaining to qualified tuition and related expenses, as well as scholarships and/or grants, taxable or not. This form is informational only. It serves to alert students that they may be eligible for federal income tax education credits. It should not be considered as tax opinion or advice.

While it is a good starting point, the 1098-T, as designed and regulated by the IRS, may not contain all of the information needed to claim a tax credit. There is no IRS requirement that you must claim the tuition and fees deduction or an education credit. Claiming education tax benefits is a voluntary decision for those who may qualify.