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Box "four" nets adjustments to the student's account. If a number is XXXXX to box "four," then this amount should be subtracted from the amount in box "two." Items included in box "four" are the tuition and fee adjustments during the prior year. For example, if the student registered for a class in November 2008 for the spring 2009 semester. The amount would show as an adjustment on the 1098-T because the registration took place in calendar 2008. Remember to subtract box 4 from box 2.You do not report the amounts in Box 4 anywhere on your tax return.
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You have nothing to subtract the amount from on your 2009 return. You may wish to look back at your 2008 and see if you are eligible for an Education Credit with the funds paid in 2008.
You are not required to enter any amount form the 1098T on your 2009 return.