In 1997, Congress passed the Tax Payer Relief Act, which included provisions for the Hope Scholarship Credit and the Lifetime Learning Credit. Both credits allow certain taxpayers who have incurred qualified expenses for higher education to take a credit against their federal income tax liability. The following is general information only and should not be taken as tax advice; please contact the IRS or a tax professional. The University cannot provide assistance regarding your eligibility or the calculation of the credit. The following web sites have additional information that may be useful.
Educational institutions are required by law to provide information to students who qualify for the Hope Scholarship Credit or the Lifetime Learning Credit. Schools, colleges, and universities report this information to the IRS and to students on Form 1098-T.
Whether you may take advantage of these tax credits depends upon your individual facts and circumstances. The University cannot provide tax advice, so you may want to consult the IRS or a tax professional to find out more about the credits and your eligibility. Please see the resource links above for additional information.
The IRS requires Form 1098-T to be postmarked by January 31 of the following calendar year. This form is mailed to the student’s permanent address. Address changes may be made at Banner.ulm.edu
The University of Louisiana at Monroe reports qualified tuition and related expenses by amounts billed. The amount billed must have been recorded in the calendar year for your tax return. Example: If you registered for your Spring courses in November or December, they will be included on your current 1098-T. If you registered for your Spring courses in January, they will be included on your next year’s 1098-T.
As determined by the Federal Government, qualified expenses are defined as expenses required by and paid to the institution for enrollment purposes. Examples of non-qualified expenses are charges for room, board, books, insurance, transportation/parking, and similar personal, living, or family expenses.
When reviewing your records please take into consideration your actual billing/registration dates. The 1098-T form reflects amounts billed in the calendar year. Amounts billed in prior or next calendar year are not included.
Example: If you registered for your Spring courses in November or December, they will be included on your current 1098-T. If you registered for your Spring courses in January, they will be included on your next year’s 1098-T.
Box 1: Payments received for qualified tuition and related expenses: This box will be left blank. Universities may choose whether to report payments received or amounts billed on student accounts; they need not report both amounts. The University of Louisiana at Monroe has chosen to report qualified tuition and related expense amounts billed.
Box 2: Amounts billed for qualified tuition and related expenses: In general, this box will contain the sum of all tuition, registration and required registration fees billed to a student’s account during a calendar year, less any amounts by which tuition was reduced due to a reduction in course load or withdrawal. Decreases in amounts due on a student’s account due to scholarship payments, student payments or other payments are not included in the Box 2 amount.
Box 3: This box will be left blank, since The University of Louisiana at Monroe has not changed its current method of reporting from the previous year.
Box 4: Adjustments made for a prior year: The amount in this box should be the sum of all reductions in tuition (refunded or not) related to amounts billed in a prior year. This amount is reported as a positive number per IRS requirements. However, it is actually a decrease to the amount that was reported on a prior year 1098-T.
Box 5: Scholarships or grants: This box contains the sum of all scholarships the University of Louisiana at Monroe administered and processed for the student’s account during the calendar year. Scholarships that pay for tuition (qualified scholarships) as well as for housing, books, and other expenses (non-qualified scholarships) will be included in this amount. Tuition waivers and payments received from third parties that are applied to student accounts for educational expenses are included in this box.
Box 6: Adjustments to scholarships or grants for a prior year: Decreases or refunds of scholarship amounts related to scholarships reported in a previous year are included in this box. This amount is reported as a positive number per IRS requirements. However, it is actually a decrease to the amount that was reported on a prior year 1098-T.
Box 7: Shows whether or not the amount in Box 2 includes amounts for an academic period beginning January-March of the following year printed on the face of the form. See Pub. 970 for how to report these amounts.
Box 8: A check in this box indicates that you are or have been enrolled at the University of University of Louisiana Monroe at least half-time for at least one semester during the calendar year.
Box 9: This box will be checked if you are a student enrolled in a program leading to a graduate-level degree.
Box 10: Shows the total amount of reimbursements or refunds of qualified tuition and related expenses made by an insurer.