Navigating the 1098 T For International Students

Questions about the 1098 t for international students? You've come to the right place. This IRS form is the source of many international student questions and we'll try to answer them all here.

The first (and most common) question we get is:

Can International Students File a 1098-t?

Generally speaking, the answer is no. Most international students cannot claim education tax credit with the Internal Revenue Service. However, there are some exceptions. If you are an international student who:

• is married to a U.S. citizen or a permanent resident
  
• is a permanent resident
• may be claimed as a dependent by a permanent resident or U.S. citizen
• has been in the United States long enough to file a federal tax return as a resident

Accommodation Engine can't provide official tax advice, so if you have more eligibility questions, you should check out IRS Publication 970 or contact a tax advisor.

What is a 1098-T Form Used For?

IRS Form 1098 T is a Tuition Statement. Universities issue this statement to demonstrate how much you paid in tuition during the previous year.

The 1098 T is used to help determine education credits as well as potential tuition and fees deductions for qualified tuition and related expenses paid during the tax year. In other words, this form may help you claim valuable education credits at tax time.

Schools are supposed to give the 1098 T Tax form to eligible students by January 31st. Those who are eligible may receive the following tax benefits:

The Lifetime Learning Credit

Offers up to $2,000 for qualified expenses paid for eligible students

The American Opportunity Tax Credit

Offers up to $2,500 for each qualifying student on your federal income tax return

Eligibility

As referenced above, the 1098 T Tax Form isn't for everyone. If you're taking courses that don't offer any credit, if you're a non-resident alien student, or if your qualified tuition and related expenses are covered by a scholarship, you will not receive this form.

In order to be eligible, you need to:

• have paid qualified tuition and related expenses in the prior year
  
• receive credit for your coursework
• be enrolled in an academic program in the prior year at an eligible educational institution
• provide your SS# or ITIN (Individual Taxpayer Identification Number) to your college or university

If you have additional questions, contact a tax professional or look over the official IRS information here.

I Am Not a U.S. Citizen and I Received a 1098-T. What am I Supposed to Do with It?

Some colleges and universities send a 1098-T to all students, including foreign students. Instead of trying to figure out which students are eligible for education tax benefits, these institutions of higher education try to make things easier on themselves and just send the form to everyone.

For tax purposes, international students should see this form as an "alert" that you may be eligible for tax education credits.

If you receive a 1098 T Tuition Statement and you're an international student, that doesn't necessarily mean you can receive the education tax benefit associated with the form. Check with Student Financial Services or the Financial Aid department at your university for more information.

Many international students do not qualify to claim the benefits of IRS Form 1098 T. However, if you:

• are married to a U.S. citizen or a permanent resident
  
• are a permanent resident
• may be claimed as a dependent by a permanent resident or U.S. citizen
• have been in the United States long enough to file a federal tax return as a resident

...then there's a chance that you can utilize a 1098 T tax form.

Tax information can be overwhelming and nebulous. Accommodation Engine has provided this information for reference purposes, but if you're unsure what to do, contact an accountant or tax professional for more specific guidance.