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 a student for a tax credit.
Why did I receive a Form 1098-T?
St. Petersburg College 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). The form is intended to assist taxpayers in preparing their federal income tax returns and determining potential eligibility for education-related tax benefits.
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. Students should consult a tax professional regarding their individual circumstances.
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. Students should provide a valid SSN or ITIN 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.
Why isn't there an amount in Box 2?
Educational institutions generally report qualified tuition and related expenses in Box 1. Box 2 is no longer used for reporting purposes.
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?
St. Petersburg College 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 student ID number in the subject line of the email.