Benefits of education tax credits and deductions
The federal government provides a number of tax incentives that can help lower the cost of higher education.
These incentives include:
Tax credits directly reduce the amount of tax you pay.
Tax deductions reduce the amount of your income that is taxed.
You may qualify for more than one of these incentives, but there are some restrictions. It's a good idea to calculate your taxes in multiple ways to find the maximum benefits available to you.
Each year, students and their parents enjoy more than $20 billion in savings through federal education tax credits and tuition deductions.
SPC cannot provide legal, accounting or tax advice. Consult a qualified tax professional or the IRS for tax-related questions.
1098-T INFORMATION
What is Form 1098-T?
IRS Form 1098-T is an informational tax document used by colleges and universities to report qualified tuition and related educational expenses, as well as certain scholarships and grants, to students and the Internal Revenue Service (IRS). The information on this tax form is to assist you in claiming your educational tax credit on your federal income tax return. The Taxpayer Relief Act of 1997 allows students (or taxpayers claiming students as dependents) to claim certain qualified tuition and fee payments for the American Opportunity Credit or Lifetime Learning Credit. Claiming education tax benefits is a voluntary decision for those who may qualify. Receipt of Form 1098-T does not automatically qualify you for a tax credit. St. Petersburg College will provide 1098-T documents to qualified students no later than Jan. 31 of each year.
Why did I receive a Form 1098-T?
SPC provides Form 1098-T to students who had reportable qualified tuition and related educational expenses during the applicable tax year (January 1st to December 31st).
Why didn't I receive a Form 1098-T?
Federal regulations do not require SPC to issue Form 1098-T in certain circumstances, including non-credit coursework, certain nonresident alien students, students whose qualified expenses were fully covered by scholarships or grants, and students covered by certain third-party billing arrangements.
Do international students receive Form 1098-T?
Generally, students classified as nonresident aliens for U.S. tax purposes are not issued Form 1098-T. Consult a qualified tax professional regarding your specific tax situation.
I am a resident alien. Should I receive Form 1098-T?
Yes. Resident aliens are generally treated the same as U.S. citizens for federal income tax purposes and may be eligible for education tax credits.
How do I know if I am a resident alien?
For tax purposes, an individual is considered a resident alien if they meet either the Green Card Test or the Substantial Presence Test. Additional information is available in IRS Publication 519.
What happens if I did not provide SPC with my SSN or ITIN?
Federal law requires educational institutions to report a valid taxpayer identification number on Form 1098-T. You should provide a valid SSN or ITIN to SPC as soon as possible.
Does SPC send a copy of Form 1098-T to the IRS?
Yes. SPC submits required Form 1098-T information to the IRS in accordance with federal reporting requirements.
What information is on the 1098-T?
Here are descriptions of the information found on the 1098-T. The number below corresponds to the number on the form.
1. The total amount of payments received by SPC for qualified tuition and related expenses from all sources during the calendar year. The amount reported is not reduced by scholarships and grants reported in Box 5.
2. Reserved and will be blank.
3. Reserved and will be blank.
4. Adjustments made for qualified tuition and related expenses that were reported for a calendar year.
5. The total amount of scholarships or grants that were processed by your school during the calendar year.
6. Any adjustment to the amount of scholarships or grants that were reported for any prior year. These need to be reviewed to see if you need to file an amended income tax return for a prior year.
7. Whether the amount in Box 1 includes amounts for an academic period beginning January through March of the current year the 1098-T is received. Consult with a qualified tax professional to see how to report these amounts.
8. Checked if you are considered to be at least a half-time student for at least one academic term during the calendar year.
9. Checked if you are enrolled as a graduate student.
10. The amount of reimbursements or refunds of qualified tuition and related expenses that were made by an insurer.
What other information do I need to claim an education tax credit?
Students should maintain tuition payment records, billing statements, scholarship and grant information, and other educational expense documentation. Consult a qualified tax professional regarding your specific tax situation.
Will I receive a paper copy of my Form 1098-T?
SPC provides Form 1098-T annually in accordance with IRS deadlines. Students should verify that their mailing address is current in SPC records.
Can I access my Form 1098-T online?
Yes. Students may access their Form 1098-T through MySPC. Select Account Balance, 1098-T and the correct aid year. If you have not consented to receive your 1098-T electronically, you will need to complete the Grant Consent to be able to view and print your form.
What if I still have questions?
St. Petersburg College Business Office
Email: businessoffice@spcollege.edu
Please include "1098-T" and your SPC Student ID number in the subject line of the email.