To enter your scholarship or fellowship income (if scholarship or fellowship income was reported on Form 1098-T, go to our Form 1098-T - Entering in Program FAQ):

1. From within your student worksheet (if you need help accessing your student worksheet in the TaxAct program, go to our Student Worksheet Entries FAQ), continue with the interview process until you reach the screen titled Student Information - Education Assistance.
2. Click the applicable data entry field, and type the scholarship or fellowship amount (if you entered scholarship or grant information on Form 1098-T, you will see that amount has been transferred to this screen).
3. Continue with the interview process to enter your information.

Any amount not used for qualifying education expenses is considered taxable income on your return, and the TaxAct program will transfer it to Form 1040 U.S. Individual Income Tax Return, Line 1. When you print the return, you will see "SCH" written next to Line 1 to indicate a portion of that total contains taxable scholarship income. Refer to IRS Publication 970 Tax Benefits for Education for more information.

Note that any link in the information above is updated each year automatically and will take you to the most recent version of the webpage or document at the time it is accessed.