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Tax Information

Tax Credit Information
Select this link for American Opportunity Credit and other educational tax benefits.


Tuition Payments Statement
1098-T Form Most Frequently Asked Questions

We recommend that you refer to this information to assist you in understanding who did and did not receive a Form 1098-T. This information must not be construed as tax advice. The amounts and calculations used to determine the credit are the decision of the taxpayer after consideration of relevant IRS regulations, Form 8863, and perhaps, the advice of a tax consultant.


What is Form 1098-T(Tuition Payments Statement)?
Effective 2004 we are required by IRS Section 1.65050S-1 to send Form 1098-T to students for whom payments for qualified billed tuition and fees were received in calendar year.

Why did I receive Form 1098-T?
Form 1098-T has been provided to assist in determining if you, or the individual, who may claim you as a dependent, are eligible to claim a American Opportunity Credit on an income tax return.

Who prepared Form 1098-T?
Parkland College has prepared the 1098-T forms based on the information provided by the Business Office and the student accounting system.

If I receive Form 1098-T, does it mean I qualify for the American Opportunity Credit?
Not necessarily, the College is required to provide Form 1098-T to individuals who were billed for qualified tuition and fees during a calendar year. Please consult with a qualified tax preparer or CPA to make an individual determination.

How do I determine which expenses will qualify for the American Opportunity Credits?
Parkland College can not offer tax advice. Please see your individual tax consultant for additional information.

Where was my form mailed?
Parkland College mailed the 1098-T forms based on addresses provided by the students to the Admissions Office. The order of address priority was: permanent, local, billing, refund, void (last known).

What do the amounts located on the form represent?
Box 2 represents the amount of qualified billed tuition at Parkland College for calendar dates January 1 through December 31.

Box 3 represents the adjustments for a prior year.  Under amounts billed you should enter any reductions in charges made for qualified tuition and related expenses made during the calendar year that relate to amounts billed that were reported for a prior year.

Box 4 represents the total of all scholarships or grants administered and processed by the eligible educational institution. The amount of scholarships or grants for the calendar year (including those not reported by the institution) may reduce the amount of any allowable tuition and fees deduction or the education credit you may claim for the year.

Box 6 is checked only if the student has been billed prior to December 31 for any qualified tuition for the following spring semester.

Box 8 is only checked if you have been a half time student (6 credit hours) for at least one academic period that began during the calendar year.

FILER'S federal identification no: 37-0892090

Why didn't I receive a 1098-T when I attended Parkland College?
There are several possibilities: 1) The IRS does not require us to send you one if your scholarship and aid (including formal billing arrangements with employers, government agencies, etc.) exceeded the billed amount. 2) You attended Parkland College in the spring semester but you had enrolled and been billed in prior calendar year. 3) We do not have a valid United States mailing address on file for you. 4) Your classified as a non-resident alien 5) Your billed amounts consisted of only non-credit courses.

Why does the 1098-T form show billed amounts instead of payments?
The IRS requires Parkland College to choose one reporting method. The College chose to report the amount billed based on computer software issues.

What did I pay for tuition in calendar year?
Please refer to your canceled checks and credit card statements for this information. If you need more detail, a printout of relevant semesters and payments may be obtained from the Business Office.

What if I didn't get a 1098-T?
If you did not receive a form and should have, please verify that the form was not mailed to another address such as your permanent (parents) address. If not, a photo copy can be made of the original form that was previously sent out.

What if I have further questions?
Parkland College has sent the forms in compliance with IRS guidelines. However, we can not offer any tax advise on this issue. If you have further questions, please utilize the resources at the links below.

For additional information, please consult the following:

IRS Resources:

IRS Website: http://www.irs.ustreas.gov This website is a source of information on frequently asked questions, complete tax forms on-line; publications, ability to provide comments and request help on line.

Tax Fax Service: Receive forms, instructions and tax information from our fax machine by dialing 703-368-9694. Form 8863 to calculate education tax credits and W-7, Application for IRS ITIN are available.

TeleTax Topics: Listen to pre-recorded messages covering tax information by calling: 1-800-829-4477. Topic 605 is Education credits.

Internal Revenue Service: 1-800-829-1040 To obtain tax forms 1-800-829-3676.

Other Relevant Websites:

IRS Home Page

Tax Information for Students

Tax Benefits for Education

The Business Office will:

  1. Clarify information on the Information Report (1098-T).
  2. Explain to students how to provide or correct their SSN/ITIN with Admissions and Records office.
  3. Make updates to students' addresses in the mainframe.
  4. Mail students' receipts for tuition paid for credit and non-credit enrollments or students can look up their accounts on Parkland’s website (login required).
  5. Tell students where and how to obtain IRS forms at the local IRS office, Library, irs.gov.

 

The Business Office WILL NOT provide:

  1. Any tax advice or guidance.
  2. Corrected or Amended Information Reports unless the College's information was recorded in error.
  3. Information on other education credits that were part of the Taxpayer Relief Act of 1997 or subsequent amendments.

 

 

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