Box 1 is used for institutions who report on the amount paid by students. The University of North Florida does not report on amounts you paid, so box #1 will be blank on the form you receive from the University. You should keep your receipts and claim on your tax return the amount you paid out-of-pocket towards qualified educational expenses.

Box 2 reports the amount of qualified tuition and related expenses that were assessed to your account during the 2011 calendar year. The figure reported here is the amount the University assessed you for these fees and does not necessarily represent the amount you paid toward qualified expenses during this tax year. You should keep your receipts and claim on your tax return the amount you paid out-of-pocket towards qualified educational expenses.

Box 3 reports on whether or not the University has changed its reporting method. We have not made any reporting changes.

Box 4 reports on any adjustments made during the 2011 tax year for qualified tuition and related expenses that were reported on a prior year 1098T. For most students this box will be blank.

Box 5 reports the amount of grants, waivers, and scholarships you received during the 2011 calendar year.

Box 6 reports the amount of any adjustments made during the 2011 tax year for grants, waivers and scholarships you received in a prior tax year.

Box 7 is checked to notify you and the IRS that some of the amount indicated in Box 2 relates to a semester that begins in the first quarter of 2012.

Box 8 will be checked if you were enrolled at least half-time for one semester.

Box 9 will be checked if you are a graduate student. This will identify you as already having a bachelor’s degree.

The American Opportunity (formerly Hope Scholarship) Credit  is available for the first four years of post-secondary education. If you meet the requirements as a student you may qualify for a tax credits. You can claim 100 percent  of the first $2000 you paid and 25 percent of the second $2000. (for example, if your expenses were $3000, your credit would be $2250). There is an income restriction and you should be aware that the credit is phased out for people in certain income tax brackets.  Unless Congress extends the tax credit, the American Opportunity tax credit is available for amounts paid through 2012 only.  The Hope Scholarship or the Lifetime Learning credit would be available after 2012.

The Lifetime Learning tax credit is available to everyone. You may claim 20 percent  of the first $10,000 paid ($2000 maximum) and that is per tax return, not per student. There are also income restrictions on the Lifetime Learning tax credit.

Comparison of Education Credits 

Generally, you can claim an education credit if all three of the following requirements are met:

• You pay qualified education expenses of higher education.
• You pay the education expenses for an eligible student.
• The eligible student is either yourself, your spouse, or a dependent for whom you claim an exemption on your tax return.

For more information on these credits, please check these websites--IRS Tax Information for Students and Tax Benefits for Education. 

•  The IRS publications website 
• IRS Tax Information for Students 
• Tax Benefits for Education