Unintended consequences of new 1098-T guidance

Due to IRS changes surrounding 1098-T reporting, the University’s process for generating a 1098-T has changed this year. Specifically, the 1098-Ts were produced for some students who were previously exempted from receiving a 1098-T because their Box 5 (scholarships and grants) was greater than Box 2 (qualified tuition and fees billed). The IRS changes necessitated that the University provide forms to students whose Box 5 was equal to or greater than Box 2. This increased the number of forms produced by over 20,000 across the system. The biggest unintended consequence of this change was providing forms to students who are in programs such as College in the Schools (CIS) and Post Secondary Enrollment Options (PSEO). Even though these students are in high school, the 1098-T form is still required. This change generated questions to One Stop from parents, but staff were able to satisfactorily explain the issue.