Filing Taxes

You are required to pay taxes and complete a tax return each year if you make over a certain amount of money. For example, in 2022, a single student without children had to file taxes if their gross income was at least $12,000. Each year, these income thresholds change. Find out current filing requirements on the IRS website.

Tax Forms

W-2: If you made $600 or more last year, your employer will send you a W-2.
1098-T: Your school completes this form and states how much you paid in tuition and fees for the year.
1098-E: If you paid interest on your student loans, you can deduct the interest on your tax return.
8863: Use this form to see if you qualify for tax credits for college students. You will need the 1098-T form from school to complete this.
1040: This is the basic tax form to report your income and any deductions. You would complete Schedule 1 if you made student loan interest payments. You will complete Schedule 3 if you are claiming education credits (tuition and fees) as deductions.

Can I deduct my student loan interest?

If you paid any interest on your student loans during 2022, you can deduct up to $2,500 on your federal tax return. If you are single, your adjusted gross income on your tax return must be less than $85,000. You will need the 1098-E form from your student loan lender. Please check the IRS website for more current information.

Are my scholarships and grants taxable?

Generally, scholarships and grants are not included on the federal tax return. But, if you have funds left over after paying tuition, fees, books, and supplies…then the remaining amount must be included on your tax return.

If you have a job on campus, then those funds must be included on your tax return. You will receive a W-2 from your college/university.

Are there any tax breaks for college students?

Yes, if you are pursuing a degree, you may qualify for an education credit. There are two types of tax credits that exist. These can be used by you on your own return or by the person who claims you as a dependent on their tax return. The person claiming the credit will need to complete tax form 8863 to determine eligibility.

American Opportunity Tax Credit (AOTC) - AOTC is a credit for certain educational expenses up to $2,500. You must be in your first four years of college, enrolled in a degree plan, and your adjusted gross income must be less than $90,000.
Lifetime Learning Credit (LLC) - If you do not qualify for the AOTC, you may be eligible for the LLC. This credit is for part-time or full-time students enrolled in a degree or job-skill training program. This credit provides up to $2,000 in credit.

Is there any tax filing help for Students?

You can seek help from a tax professional or use an online program that will walk you through the filing process.

Here is a list of free Tax filing software for Students:

IRS Free File: If your adjusted gross income is less than $73,000, you qualify to use their services
H & R Block: You can prepare your federal tax return for free. Customer support for a fee.
Cash App Taxes: Cash App allows you to file a federal tax return for free. Customer support is unavailable.
FreeTaxUSA: You can file federal tax returns for free. They offer live customer support for a fee.
TaxAct: Tax Act offers a free option for federal tax preparation. Customer support is unavailable.

Is there any help on filing taxes on campus?

Volunteers Income Tax Assistance (VITA) offers free tax guidance to anyone who lives with a disability, speaks limited English, or earns less than $58,000 a year.
Baker Ripley (formerly Neighborhood Centers) provides tax and financial services at 11 convenient locations throughout the Greater Houston area. Services are available to anyone who earns less than $58,000.

Tax resource by MoneyGeek provides additional information regarding tax credits and deductions for education, undocumented student tax forms (W-7), international student tax forms (1042-S and 8843), and tricky tax issues for military students.