2009 IRS Form 1098-T Information
1098-Ts for students enrolled in courses for academic credit at UNCW during any academic period in 2009 will be produced by January 31, 2010. This form contains important tax information that is being furnished to the IRS. Students may view the information provided on their 1098-T via SeaNet, select tabs: “Student Services & Financial Aid”, “Student Records”, and Tax Notification”.
The 1098-T for 2009 shows qualified tuition and fees billed, not paid, during the calendar year as well as scholarships or grant aid applied to your account during the year. Adjustments made during 2009 for 2008 qualified tuition and fees, scholarships or grant aid are shown separately (Boxes 4 and 6). Most spring 2010 tuition and fee charges will be reflected on this year’s 1098-T (billed in November 2009).
In addition, under the recently enacted American Recovery and Reinvestment Act (ARRA), textbook and other course material expenses incurred in 2009 and 2010 that are not covered by scholarship or grant aid may be counted towards the newly created tax credit called the American Opportunity Tax Credit on that year’s tax return.
According to the IRS, the new credit temporarily replaces and expands the previous Hope Credit for tax years 2009 and 2010, making the American Opportunity Tax Credit available to a broader range of taxpayers. It also:
- Adds required course materials to the list of qualifying expenses.
- Allows the credit to be claimed for the first four post-secondary education years instead of two
We strongly urge you to contact your tax professional for further information on how this change will affect your specific tax situation, or review Publication 970, Tax Benefits for Education, which can be downloaded from www.irs.gov. An eligible taxpayer must file a tax return and owe taxes to claim the credit. The taxpayer must also claim the eligible student as a dependent unless the credit is for the taxpayer or the taxpayer's spouse. (This means the eligible taxpayer may also be the eligible student.)
To apply for the credit, the taxpayer must report the amount of tuition and fees paid as well as the amount of certain scholarships, grants, and untaxed income used to pay the tuition and fees. The Form 1098-T is used along with the taxpayer’s own records of tuition and fee amounts paid to complete IRS Form 8863 to claim the tax credit. You may wish to talk to a tax advisor for help in calculating the amount of your credit.
Additional information about education tax credits can be found at http://www.irs.gov.
This information is provided as required by the IRS and does not represent tax advice from the University. The taxpayer should refer to relevant IRS forms and publications or their tax advisor for explanations relating to the eligibility requirements for, and calculation of any allowable education tax credit, and should not seek advice from the University.
For questions regarding information reported on the Form 1098-T for 2009 please review the FAQs posted on the Student Accounts website:
http://www.uncw.edu/ba/finance/StudentAccounts/TaxFAQs.html.
Additional questions may be directed to the University by e-mail at: studentaccounts@uncw.edu or by phone at (910)962-4281.
