Hello, I am in the military and have a son in college; he is a full-time student with zero income. He has some scholarships and student loans in his name and some are in ours. Would it be more beneficial to claim him on our taxes or have him file his own? Should the 1098T be in his name or ours?

If he has NO income, it makes no sense for him to file and claim himself.

YOU should claim him on your return, and the Form 1098-T should be in YOUR name.

Thank you very much - I had suspected this would be the correct answer but, I wanted to be sure this would be the most beneficial direction.

Note that this assumes your income level is NOT too high to claim the various education credits.

What is your combined (joint) 2011 income?

You can not claim your son if he provided more than half of his own support, which includes scholarship and student loan.

The half-support rule does NOT apply when the child is in college.