1098-T Tax Information

To comply with federal laws, we are required to ask for your Social Security Number (SSN) or individual taxpayer identification number (ITIN). We will use your SSN/ITIN to generate your 1098-T. If your Social Security Number is incomplete or missing from your student account, your 1098-T will still generate; however it will not match with the IRS. North Idaho College must have your SSN to file certain returns with the IRS and furnish you with an accurate 1098-T form. If you are not eligible to have a social security number, your taxpayer identification number is sufficient. The return the college must file contains information regarding qualified tuition and related expense payments during the current tax year that you may be eligible to claim and reduce federal income tax.

If your Social Security number is incomplete or missing, please complete the Request for Student’s Taxpayer Identification Number and return it to the Student Finance Office. Do not send this form to the IRS.

If you do not wish to provide NIC with your SSN/ITIN or are an international student, please complete the Opt-Out portion of the Request for Student’s Taxpayer Identification Number and return it to the Student Finance Office.

If you do not submit your SSN/ITIN, you will not be denied access to the college; however, you may be subject to civil penalties (refer to Internal Revenue Service Treasury Regulation 1.6050S-1(e)(4) for more information). Pursuant to state law and federal law (Family Educational Rights and Privacy Act), the college will protect your SSN from unauthorized use and/or disclosure.

In compliance with Section 7 of the Federal Privacy Act of 1974, 4 U.S.C. § 552a note, and various amendments to the Social Security Act codified at 42 U.S.C. § 405, this document serves to notify you of the purpose for the collection and usage of your SSN.

North Idaho College (NIC) will only use your social security number (SSN) as needed for lawful purposes within the business of NIC and for those specific purposes identified by the Social Security Administration, the Internal Revenue Service and other state and federal regulatory agencies. The SSN will not be used in any information system as the primary identification of staff; and recognizes that the issue of identity theft is a growing problem. NIC departments that are authorized and required to collect, transmit, store or use a SSN will do so in a secure manner. Violations of this policy may result in disciplinary action up to and including discharge or dismissal in accordance with NIC rules and procedures.

NIC collects and uses your SSN only for the following purposes in performance with the college's duties and responsibilities. To protect your identity, NIC will protect your SSN from unauthorized access, will never release your SSN to unauthorized parties, and assign you a unique student identification number. This unique ID number is used for all associated employment and educational purposes at NIC.

For the student information system (MyNIC), the primary identifier for the student will be their login that they received upon application to NIC. The unique ID number assigned to all students will be used to access student education records, and for electronic and paper data systems that identify, track and service students. Faculty and staff will require students to provide their student identification number for all transactions and not SSNs for any transactions requiring access to student records.

• Box 1: (“Payments received for qualified tuition and related expenses”) of your 1098-T displays the net amount of payments** received during the tax year (January – December) that were required as a condition of your enrollment and attendance. To “qualify,” payments must relate to an academic period for which fees are due and payable during the tax year and for which instruction begins no later than March of the following year. **Note: “Net” payments are payments minus any refunds sent to the student.

• Box 2: (“Amounts billed for qualified tuition and related expenses”) is blank because of the recent IRS requirement to change reporting methods starting with the 2018 tax year. All institutions are required to report payments in Box 1.

• Box 3: (“Check if you have changed your reporting method) is not required for the current year.

• Box 4: (“Adjustments made for a prior year”) will show any refunds during the current year for payments of “qualified tuition and related expenses” reported on a 1098-T for a prior tax year.

• Box 5: (“Scholarships or grants”) reflects scholarships and grants, including all payments received from a third party, during the tax year.

• Box 6: (“Adjustments to Scholarships or grants for a prior year”) shows an amount if “scholarships and grants” that were reported on a 1098-T for a prior year were subsequently reduced in the current tax year.

• Box 7: If checked, indicates that “payments received” in Box 1 include payments for terms that start in the first three months of that year (i.e. Spring).

• Box 8: If checked, indicates that you were considered to be “enrolled at least half-time” for one or more quarters during the tax year. At NIC, “at least half-time” means that you were enrolled in six or more credits for any semester.

• Box 9: Is not applicable for NIC
• Box 10: Is not applicable for NIC

• What are qualifying tuition and expenses?
  These expenses include actual amounts paid for the course you enrolled in. Non-qualifying expenses include fines, miscellaneous charges, housing and meal charges, and any items not related to course expenses.
• What address was used to mail my 1098-T form?
  Form 1098-Ts are mailed to your permanent address on file maintained by the college. If you failed to update your address, the 1098-T was mailed to your previous address. You can print a copy of the 1098-T via your MyNIC account.
• Will I receive a 1098-T form if I made qualified payments but withdrew from classes? Yes, per IRS regulations, you will receive a 1098-T form for only the amount of qualified expenses that have not been refunded.
• Does the 1098-T form notate if financial aid covered my tuition and fee charges?
  Yes, if you receive a 1098-T form, any financial aid received during the tax year will be displayed in Box 5.
• Are my federal and private loans included in my 1098-T form?
  Yes, all loans used to pay qualified educational charges were considered in the same manner as cash payments when generating your 1098-T form.
• Will my 1098-T form show my entire Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN)?
  The SSN or ITIN will be truncated to show only the last four digits.
• Is my entire Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN) reported to the IRS?
  No, when NIC reports 1098-T form information to the IRS, only the last four digits of your SSN or ITIN are submitted.