This section provides links to general information about Federal Education Tax Benefits, help on understanding your 1098-T Form, and navigation to the IRS website for detailed information.
Student Financial Services Office staff members are not experts on tax return preparation and federal education tax benefits so they cannot provide tax advise but can assist with general questions.
Each year the National Association of Student Financial Aid Administrators updates their guide to federal education tax benefits. Outlined is information about tax credits that directly reduce the amount of tax for which a tax filer is liable, and tax deductions that reduce the amount of income on which the filer pays taxes. There is also information about related IRS Publications that may be helpful.
For more information, go to the IRS website.
Student Financial Services provides 1098-Ts for the previous calendar year on, or before, January 31st. To access your 1098-T the fastest way possible, please opt for electronic delivery on your Student Account Center. Otherwise, non-electronic forms are mailed. Students and/or bill payers may use the 1098-T information to help calculate their eligibility for tax credits and deductions for the IRS filing year reported on the form.
Students may allow their parent access to view the 1098-T online by indicating the access for the Authorized User on the Student Account Center. Please refer to Federal Tax Benefits for Higher Education site for additional information.
*IMPORTANT CHANGE* In previous years, your 1098-T included a figure in Box 2 that represented the qualified tuition and related expenses (QTRE) we billed to your student account for the calendar (tax) year. Due to a change to institutional reporting requirements under federal law, beginning with tax year 2018, we will report in Box 1 the amount of QTRE you paid during the year.
Depending on your income (or your family’s income, if you are a dependent), whether you were considered full or half-time enrolled, and the amount of your qualified educational expenses for the year, you may be eligible for a federal education tax credit. (You can find detailed information about claiming education tax credits in IRS Publication 970, page 9.)
The dollar amounts reported on your Form 1098-T may assist you in completing IRS Form 8863 – the form used for calculating the education tax credits that a taxpayer may claim as part of your tax return.
Seattle University is unable to provide you with individual tax advice, but should you have questions, you should seek the counsel of an informed tax preparer or adviser.
Total amount of qualified tuition and related expenses (QTRE) you paid in calendar (tax) year, less any refunds received that year.
Not reported by Seattle University. Can be calculated using account activity/invoices from the Student Account Center records to total billed expenses in calendar (tax) year.
Tuition and fees, such as lab, matriculation, study abroad, lesson, nurse-testing or doctoral fees are examples of Qualified Expenses. By regulation, orientation, room, board, insurance, transportation, expenses not directly billed (books, supplies, equipment), or other personal expenses cannot be included. Please refer to IRS Publication 970 and IRS Form 8863 to calculate eligibility and/or credit.
Not applicable to Seattle University.
Reflects adjustments made to the tax year prior to the one being reported on the form.
Reflects scholarships and grants posted to the student's Seattle University student account in the year being reported as payment toward the cost of attendance. Included are institutional, federal, state and/or private scholarships and/or grants that were posted on the student account.
If the student received and used a state and/or private scholarship and/or grant check for the payment of the cost of attendance without posting it directly to the student's account, this amount will need to be added the amount reported in Box 5.
Reflects the adjustments in the year being reported to grants or scholarships from the calendar year prior to the year being reported.
Is checked if any of the expenses reported in Box 2 relate to an academic period that begins in January through March of the year following the year being reported.
Is checked if the student was enrolled half-time or greater in the year being reported.
Is checked if the student was a graduate student in the year being reported.
Is not applicable and is not used by eligible higher education institutions.
Seattle University does not send 1098-E forms because the university does not assess interest on balances owed by currently enrolled students.
However, students who received past Perkins or Nursing Loans while attending Seattle University, and made qualifying payments, will receive 1098-E forms from the university's servicer, Heartland ECSI.
As required by the IRS, those forms will be mailed by January 31st for the previous calendar year. Students who believe they should have received a 1098-E Form and, by mid-February, have not, should contact Heartland ECSI at 1-888-549-3274. Student borrowers can view the amount of interest they have paid by going online to the Heartland loan servicing website. SU's Heartland school code is WA3.
Per IRS guidelines, Seattle University does not issue 1098-T statements to non-degree seeking students taking courses through the Professional Learning office.
To determine your ability to deduct course expenses as profession-related deductions please consult with a tax professional.
You can use the IRS Form 8863 to determine if you qualify to claim education tax credits (https://www.irs.gov/forms-pubs/about-form-8863)
*Please consult with your tax professional to see if you qualify, as Seattle University cannot determine your eligibility.
For further assistance, please contact IRS (https://www.irs.gov/).
What period does this tax credit cover?
1098-Ts, which are available online for those opted-in electronically and/or mailed each year on or before January 31, are for the immediately preceding calendar year.
Is Seattle University an eligible institution?
Yes. Seattle University is an eligible institution of Higher Education recognized by the U.S. Department of Education and the IRS.
Can an eligible student claim both a Hope credit and a Lifetime Learning credit?
No. A student can only claim one or the other tax credit in any given tax year.
How is the tax credit calculated? Can Student Financial Services help with the calculation?
Unfortunately, Seattle University is unable to provide tax advice to students or parents. It is the taxpayer's responsibility to determine and document the information used in their tax return. It will be helpful to refer to the student's Payment and Registration Invoices for the year being reported for eligible charges and payments. Additional information and assistance can be found in IRS Publication 970 or by contacting a tax advisor.
But how can the tax credit be calculated if SU does not provide amount?
IRS Form 8863 is a worksheet designed to walk the taxpayer through the calculation process. The tax filer can use the student's electronic account activity or eStatements in combination with the worksheet to establish if they are eligible and, if they are, the amount of credit they are eligible to receive.