Q1. I just received a Form 1098-T in the mail. What is this form?

 

A1. Universities and colleges are required to issue the Form 1098-T Tuition Statement for the purpose of determining a student's eligibility for the American Opportunity Credit (renamed the already existing Hope credit) and Lifetime Learning education tax credits. For more information on the American opportunity tax credit, please refer to the IRS website. This form is informational only. The 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 the student's name, address, and taxpayer's identification number (TIN), enrollment and academic status. Beginning with 2003, educational institutions must also report amounts to the IRS pertaining to qualified tuition and related expenses, as well as scholarships and/or grants, taxable or not.

 

Form 1098-T is mailed each year by the end of January to those students who had tuition and fee charges in the preceding calendar year and may be used in income tax filings. It should not be considered as tax opinion or advice. Please give this form to your tax preparer to determine if you are eligible for any tax credits.

 

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Q2. What am I supposed to do with the Form 1098-T?

 

A2. Keep it for your records. Since the University sends your Form 1098-T information to the IRS, there is no need to attach a copy of the form to your tax return. The information contained in the Form 1098-T will help you to determine if you may claim the American opportunity (renamed the already existing Hope credit) or the Lifetime Learning education tax credits.

 

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Q3. The Social Security (SSN) or Individual Taxpayer Identification Number (ITIN) Number on my Form 1098T is missing or incorrect. What should I do?

 

A3. Reporting to the IRS depends primarily on your SSN, so it is very important for you to have the correct information on file with the University. Please complete Form W-9S which can be printed from the IRS Website and submit Form W-9S along with a copy of your  A State Express ID to Sheryl Puckett in Student Account Services, located in Reng Student Services Center, Room 2146 to ensure the data we send to the IRS is accurate.

 

 

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Q4. Why is Box 1 blank?

 

A4. Box 1 - Payments received for qualified tuition and related expenses will be blank for all ASU students. Schools are directed to choose a method of reporting, either by reporting the payments received for qualified tuition in Box 1 or by reporting the amounts billed for qualified tuition and related expenses in Box 2. ASU has chosen the latter method. This does not mean your "payments received for qualified tuition and related expenses" are zero. To review all payments and other credits applied to your account during the year please review your account through MyCampus.

 

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Q5. How did the University figure out what figures to include in Form, 1098T Box 2 Amounts billed for qualified tuition and related expenses?

 

A5.  The figure in Box 2, Amounts billed for qualified tuition and related expenses includes the total amount paid during the calendar year 2009 for terms that started in 2008 or the first three months of 2009 if the billing and registration occurred in 2008.

 

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Q6: What does an amount in Box 4 mean?

 

A6. Box 4 - Adjustments made for a prior year shows an amount if qualified tuition and related expenses that were reported on a 1098-T for a prior year were subsequently adjusted or reduced in the current tax year.

 

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Q7. What does an amount in Box 5 mean?

 

A7. Box 5 - Scholarships or grants shows the net amount of certain forms of educational assistance that was received or applied to your student account during the tax year (January - December), regardless of the term for which the funds were originally intended. Any subsequent adjustments or reductions to educational assistance that occurred in the same tax year are summed into the amount. The net amount is sent to the IRS.

 

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Q8. What does an amount in Box 6 mean?

 

A8. Box 6 - Adjustments to Scholarships or grants for a prior year shows an amount if scholarships or grants that were reported on a 1098-T for a prior year were subsequently adjusted or reduced in the current tax year.

 

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Q9. What does the check mark in Box 8 mean?

 

A9. Box 8 - Check if at least half-time student, if checked, indicates that you were considered to be enrolled at least half-time for one or more terms during the tax year.  This information is important in determining eligibility for the Hope Credit.

 

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Q10. What does the check mark in Box 9 mean?

 

A10. Box 9 - Check if graduate student..., if checked, indicates that you were enrolled in a graduate program for one or more terms during the tax year. The University checks this Box if you attended as a graduate student for any term of your enrollment during the tax year.

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Q11. Do I need to report my scholarships as taxable income?

A11. Scholarships that pay for qualified tuition and related expenses are not taxable to the student. However, if any portion of your scholarships paid for non-qualified expenses, then you may be responsible for reporting such portion as taxable income on your tax return. For further guidance, please review IRS Publication 970, 'Tax Benefits for Education' at the IRS Website.

 

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Q12. How are late fees reported on my Form 1098-T?

A12. Fees charged for late registration and/or late payment are shown as non-qualified expenses, and are not reported anywhere on your Form 1098-T.

 

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Q13. How can I get a copy of my 1098-T?

A13. Simply log in to My Campus. Once you are logged on, go to the 'Self Service' tab, select the 'Student and Financial Aid' link, select the 'Student Records' link , and then select the 'Tax Notification' link.

 

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Q14. Can I get a copy of last year's Form 1098-T?

A14. Yes, provided that a form was issued to you. Follow the instructions above for getting a copy of your Form 1098-T, making sure to select the tax year of interest from the drop-down menu Box. Please note, the current tax year appears in the window by default.  

 

 

For additional information, please consult the following:

 

• IRS Website
• Internal Revenue Service: 1-800-829-1040

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Q15. How can I find out if I am eligible for a tax benefit?

A15. Read a Guide to Federal Tax Benefits for Higher Education and IRS Publication 970, contact the IRS at (800) 829-1040, or contact a tax advisor for information on how to determine if you qualify for one of the tax benefits. 

 

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Q16. I think I should have received a 1098T, but did not get one.  What should I do? 

A16. 1098T tax forms were mailed by January 29, 2010. A duplicate form will be available after February 1, 2010 by going to MyCampus. If you are a non-resident alien, the IRS does not require us to send you a form, but we are able to provide you with a billing history. 

 

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Q17. Since I received Form 1098T from the University, will I qualify for one of these tax benefits? 

A17.  Not necessarily. Read a Guide to Federal Tax Benefits for Higher Education and IRS Publication 970, contact the IRS at (800) 829-1040, or contact a tax advisor for information on how to determine if you qualify for one of the tax benefits. The College is required to send 1098T forms to all students who have been billed for qualified tuition and related expenses.

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Q18. I did not keep information on my payments and student loans, Where can I get copies?

A18.  Check your status in MyCampus (Student Resources) for a detailed report. If you are a parent looking for this information for a student, please ask your student to access this information for you.

 

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Q19. I am having trouble accessing In Astate?

 

A19.    Go to the website:  http://ssb.astate.edu

 

Enter either student ID or social security number for the user ID.  The pin will be the student's birthdate (mm/dd/yy) unless they have reset their pin.  If still having difficulty logging in, please call the IT Help Desk at 870-972-3933

 

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Q20. I am an international student, will I be sent a 1098-T?

 

A20.    No.

 

If you are classified as a Non Resident Alien as defined by the IRS and are coded as such in the Arkansas State University student records system, you will not be sent a 1098-T form. You are not allow to claim Form 1098-T as a non-resident alien (Please read Publication 970 Tax Benefits for Education on page 37, Who Cannot Claim the Deduction: You cannot claim the tuition and fees deduction if any of the following apply…You (or your spouse) were a nonresident alien for any part of 2010 and the nonresident alien did not elect to be treated as a resident alien for tax purposes. More information on nonresident aliens can be found in Publication 519, U.S. Tax Guide for Aliens.). Please contact the IRS or your personal tax preparer for assistance.