1098-T Cleanup Tool - Best Practices

As part of best practices, we recommend the following steps when using the 1098-T Cleanup Tool. These steps guide you through the iterative process of filtering records based on specific criteria.

1. Select the Campus(es).

2. In the Fund Sources field, select the search icon (). In the Select Fund Sources pop up, select Show Filter Row, select Yes for fund sources Configured as Scholarships or Grants, and select the fund source Names to be included in the 1098-T.

3. The values for the Transaction Date range will be based on the volume of records at your institution. For previous years, you could specify the whole reporting year, but for the current tax year, you may want to limit the Transaction Date range by month or quarter.

4. Select Next. Once the records are displayed in the Results grid, select the Include All Scholarships/Grants/Qualified Expenses button in the grid toolbar.

5. Select the Identify Prior Year Refunds button in the grid toolbar.

6. Scroll to the Terms column and specify a filter for the Terms you want to include and to determine prior year refund transactions.

7. Scroll to the Amount column and filter the amounts by less than 0 and the description for Title IV fund sources to determine if any refunds should be marked as multiple payments.

8. Scroll to the bottom of the page and select Save.

9. Return to the Selection Criteria section of the page.

   In the Fund Sources field, select the search icon (). In the Select Fund Sources pop up, select Show Filter Row, select No for fund sources Configured as Scholarships or Grants, and select the fund source Names to be included in the 1098-T.

10. The values for the Transaction Date range will be based on the volume of records at your institution. For previous years, you could specify the whole reporting year, but for the current tax year, you may want to limit the Transaction Date range by month or quarter.

11. Select Next. Once the records are displayed in the Results grid, select the Clear All Scholarships/Grants/Qualified Expenses button in the grid toolbar.

12. Scroll to the bottom of the page and select Save.

13. Return to the Selection Criteria section of the page.

    If your institution has HEERF or CARES fund sources, in the Fund Sources field, select the search icon () and select just the CARES and HEERF fund source Names.

14. In the Transaction Date range fields, specify the full year.

15. Select Next. Once the records are displayed in the Results grid, select the check box in the Emergency Grant Box 1 column for the appropriate records. If all of them should be marked, select Select All Emergency Grant Box 1 in the grid toolbar.

16. Scroll to the bottom of the page and select Save.

17. Return to the Selection Criteria section of the page.

    In the Transaction Codes field, select the search icon (). In the Select Transaction Code pop up, select Show Filter Row, select Yes for transaction codes Configured as Qualified Expenses, and select the transaction code Names to be included in the 1098-T.

18. The values for the Transaction Date range will be based on the volume of records at your institution. For previous years, you could specify the whole reporting year, but for the current tax year, you may want to limit the Transaction Date range by month or quarter.

19. Select Next. Once the records are displayed in the Results grid, select the Include All Scholarships/Grants/Qualified Expenses button in the grid toolbar.

20. Scroll to the Terms column and specify a filter for the Terms you want to include and to determine prior year refund transactions.

21. Scroll to the Amount column and filter the amounts by less than 0 to determine if any refunds should be marked as multiple payments.

22. Scroll to the bottom of the page and select Save.

23. Return to the Selection Criteria section of the page.

    In the Transaction Codes field, select the search icon (). In the Select Transaction Code pop up, select Show Filter Row, select No for transaction codes Configured as Qualified Expenses, and select the transaction code Names to be included in the 1098-T.

24. The values for the Transaction Date range will be based on the volume of records at your institution. For previous years, you could specify the whole reporting year, but for the current tax year, you may want to limit the Transaction Date range by month or quarter.

25. Select Next. Once the records are displayed in the Results grid, select the Clear All Scholarships/Grants/Qualified Expenses button in the grid toolbar.

26. Scroll to the bottom of the page and select Save.