Background for 1098-T Processing

This topic provides background information for the 1098-T process in Anthology Student.

1098-T Based on TCC/TIN

For tax reporting purposes, each institution has a Transmitter Control Code (TCC) for electronic data transmissions to the IRS. A TCC may have multiple Taxpayer Identification Numbers (TINs) associated with it, for example, to identify different campuses belonging to the institution. As a general rule, only transactions that occurred at a specific campus should be reported on each student's 1098-T.

Enhancements to the 1098-T process for tax year 2022 ensure that transfer students who are eligible for a 1098-T form from their original campus and then transfer to a new campus, where they are also eligible for a 1098-T, receive two different 1098-T forms, one from each campus.

Previously, depending on the client's database configuration, transfer students could receive a 1098-T form containing transactions that belonged to a different campus.

Now, the 1098-T process gathers only the records for the campus where the transactions were posted based on the TCC selected when the 1098-T process is run, even when the student has ledger transactions at multiple campuses belonging to TCCs that do not match that for which the batch is being created.

If a student has two enrollments with transactions at two campuses with TINs that belong to the same TCC, the 1098-T calculates transactions for all TINs in that TCC.

When a student has multiple enrollments with transactions posted at multiple campuses that share the TCC, the 1098-T displays the Official School Name of the TIN campus (and/or Attending Campus if requested) for the most recent enrollment (by adenroll.startdate before the date the 1098-T is produced).

The 1098-T process accommodates the following database configurations:

The database may have only a single Student Master per student, even though the student can attend multiple campuses. All SaTrans records for a student have the same SySTudentID referencing the student's single Student Master record.
The database may have separate Student Master Records for different enrollments. SaTrans records for the same student may have multiple SySTudentIDs associated with the multiple Student Master records for different enrollments.

How the 1098-T Process Gathers Students into a Batch

When gathering students into a batch, the 1098-T process checks if the student:

Has an enrollment in any campus belonging to the TCC specified in the batch
Meets the eligibility requirements for citizenship

If there are multiple campuses and the student's citizenship in their master student records (for each TIN campus) does not agree, the student may be included if one of their citizenship codes meets the batch specifications for citizenship.
Has a Completed, Current, or Dropped status for at least one course in the batch's TCC campus at any time before December 31 of the calendar year
Has attended a course at a campus belonging to the TCC campus

To receive a 1098-T, a student must have:

One or more enrollments in a qualifying program at the campus belonging to the TCC specified in the batch
Eligible QTRE (Qualified Tuition and Related Expenses) charges
Scholarships or scholarship adjustments
Payments posted for a campus belonging to the TCC specified in the batch

The transactions must have been made between January 1 and December 31st of the calendar year. For each student in a 1098-T batch, the process retrieves only ledger transactions that are associated with any campus belonging to the TCC defined for the batch.

How the 1098-T Process Calculates Results

Once the 1098-T process has identified eligible students for the batch, the logic determines the following:

Calculation	Result
Sum the student’s QTRE charges (minus adjustments) for the batch's TCC campuses from the beginning of the student's career up to and including December 31 of the year before the calendar year that is reported.	Previous Year’s Charges
Sum the student's payments for the batch's TCC campuses (minus stipends and refunds) from the beginning of the student's career up to and including December 31 of the year before the calendar year that is reported.	Previous Year’s Payments
Sum the student’s QTRE charges (minus adjustments that do not have the Previous Year flag checked) for the batch's TCC campuses from January 1 to December 31 of the calendar year.	Current Years Charges
Sum the student's payments for the batch's TIN campuses (minus stipends and refunds) from January 1 to December 31 of the calendar year.	Current Years Payments
Carryover Charges = Previous Year Payments - Previous Year Charges	Carryover charges
IF Current Year's Payments <= Carryover Charges - Previous Year Charges THEN Box 1 = Current Years Payments ELSE Box 1 = Carryover Charges - Previous Year Charges ENDIF	Box 1
Student's Adjustments Made for a Prior Year = Sum of Adjustments for the student in the batch's TCC campuses from January 1st to December 31st of the calendar year with Previous Year flagged. IF the campus is in year 1 of Box 1 reporting THEN Box 4 = zero ELSE Box 4 = Adjustments Made for a Prior Year ENDIF	Box 4
Box 5 - Scholarships or Grants = Sum of the student's adjustments for the batch's TCC campuses from January 1st to December 31st of the calendar year. Exclude those with Previous Year flagged.	Box 5
Box 6 - Adjustments to Scholarships or Grants for a prior year = Sum of student's Adjustments to Scholarships/Grants for the batch's TCC campuses from January 1 to December 31 of the calendar year with Previous Year flagged.	Box 6
Charges for the current year's tuition (based on term or Box 7 date range) for the batch's TCC campuses from January 1st to December 31st of the calendar year IF Current Year Payments > Carryover Charges + Current Years Tuition THEN Box 7 - Check box for Amounts for the academic period beginning in January through March of the year after the calendar year = Selected ELSE Box 7 - Check box for Amounts for the academic period beginning in January through March of the year after the calendar year = Cleared END IF	Box 7

The process also checks if:

The student is enrolled less than 1/2 time at the batch's TCC campuses
The student is a graduate from any campus (even those not in the batch's TCC campuses)
Box 1, Box 4, Box 5, and Box 6 are zero

If these conditions are met, a 1098-T is not produced for the student unless the conditions are overridden by selecting the 'Include IRS Exempt Students' configuration for batch.

Manually Adding a Student to a Batch

When you search for a student, you can only select enrollments that belong to campuses that share the batch's TCC.

A student who has not attended any courses at the TCC defined in the batch may be manually added to the batch. This accommodates students who will be making payments to the TCC campus when they are making payments for courses from another TCC/TIN campus.

For a manually added student, the 1098-T process performs the same calculations as listed above.

A student can be manually added to a batch even if the student has zero values in Box 1, Box 4, Box 5, and Box 6.

All students gathered into a batch or those who are subsequently added to a batch may have their Box 1, Box 4, Box 5, and Box 6 values manually overridden from the Student Detail screen that is accessed from the 1098-T Student Grid.