Reporting Requirements

Which Information is Reported?
Which Information is Not Reported?
Which Students are Not Reported?

Which Information is Reported?

Beginning with tax year 1998, TRA 97 requires the University to report to the Internal Revenue Service as a prerequisite for determining a student's eligibility for the educational tax credits.  To simplify this process, and to provide the best customer service for students and their families, the University contracted with AFSA Data Corporation for the Tax Credit Reporting Service (TCRS).  

Through TCRS, the University provides students with copy B of IRS Form 1098-T:   Tuition Payments Statement, as assistance in claiming the Hope or Lifetime Learning tax credits.  In accordance with IRS Notice 97-73 [download] (tax year 1998), IRS Notice 98-46 [download] (tax year 1999), IRS Notice 99-37 [download] (tax year 2000), IRS Notice 2000-62 [download] (tax year 2001), and Final Regulations released December 19, 2002 [download], each 1098-T provides the following student information (please refer to the sample form for placement of the information):

• the filer's name, address, and federal identification number
• the student's name, address, and social security number
• an indication of whether or not the student's enrollment was considered half-time or greater
• an indication of whether or not the student was enrolled in a graduate program

Which Information is Not Reported?

The IRS waived the requirement of reporting student financial information for tax year 1998 (see IRS Notice 97-73 [download] ), tax year 1999 (see IRS Notice 98-46 [download]), tax year 2000 (see IRS Notice 99-37 [download]), tax year 2001 (see IRS Notice 2000-62 [download]), and tax year 2002 (see Final Regulations dated December 19, 2002 [download]); therefore, such data was not sent to the IRS on behalf of UCI students for any of the tax years above.  

Recognizing that financial information may be very useful in completing a tax return, however, the University elected to append such data to the student copy only of each 1098-T form.  The reverse side of copy B displays "Information for Determining Federal Tax Benefits for Higher Education Expenses" (financial supplement) entries that were not reported to the IRS.  The figures represent the University's "good faith effort" to provide financial details that are as complete and as accurate as possible prior to the implementation of the Final Regulations for tax year 2003 .  These amounts do not affect a student's ability to figure and/or claim an education tax credit using IRS Form 8863:  Education Credits [download].

The "Information for Determining Federal Tax Benefits for Higher Education Expenses" (financial supplement) exhibits the following student information for tax year 2002:

• names of the student and the institution attended
• financial data
  • tax year 2002 amounts:
    • Part 1:  Payments Received for Tuition and Related Expenses ("Qualified Tuition and Related Expenses") paid in 2002 and,
    • Part 2:  any Scholarships and Grants ("Adjustments to Qualified Expenses") received in 2002
  • tax year 2002 adjustments to prior tax year amounts:
    • Part 3:  any Adjustments Made for a Prior Year to Qualified Tuition and Related Expenses and,
    • Part 4:  any Adjustments Made for a Prior year to Scholarships or Grants

The IRS' rule against double benefit even applies to prior years.  Beginning with tax year 1999, taxpayers are advised by the IRS to repay any portion of a previous tax year's education tax credit corresponding to educational expenses reimbursed during the current tax year.  This procedure is known as "recapturing " a tax credit.  Publication 970 [download] explains this concept under "When Must the Credit be Repaid?" for both the Hope and Lifetime Learning tax credits.

The Definitions section of this web site provides an additional discussion of prior year information  for UCI students, but does not advise taxpayers when or how to apply data shown on the "Information for Determining Federal Tax Benefits for Higher Education Expenses" (financial supplement).  Taxpayers may wish to review the instructions for IRS Form 8863: Education Credits [download] for information on how to account for prior year information on their 2002 tax returns.

Which Students are not Reported?

When the University perceives insufficient data or inapplicability of both tax credits to an individual's circumstances, information is not reported to the IRS.  In these cases, neither a 1098-T form nor a "Information for Determining Federal Tax Benefits for Higher Education Expenses" (financial supplement) is generated, and information is neither transmitted to the IRS nor mailed to the student.

The following example situations do not promote reporting and do not generate a 1098-T:

• insufficient data exists when:
  • a Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN) is not on file for the student
  • the SSN on file for the student is invalid
• inapplicability of both tax credits exists for:
  • students who attended complimentary courses or an inter-campus visitor program for which fees were not assessed
  • students who received a full refund of fees within the same year as payment (University Extension only)

Please refer to Notice 97-73 [download] for additional examples.

The information provided in this web page is NOT tax advice.  It is offered only as general information for UCI students and their families.  Please consult a qualified tax expert for advice on computing, claiming, or determining qualification for any tax benefit mentioned in this web site.

Further information is available from:

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