I amended by 1040 because I received a 1099Q, but the money I received from prepaid tuition went towards tuition and never deposited into my account. Do I need to amend?

[MichaelDC · Accepted solution]

No. If the Distribution doesn’t exceed the amount of the student's qualifying expenses, then the distribution is not Taxable and you don't have to report any of the distribution on your tax return. This may sound strange, especially regarding taxes, but the IRS does not request any additional information to substantiate whether or not your Distribution exceeded your actual qualified expenses. Nevertheless, it would be wise to keep a good record of these expenses just in case your return gets picked up for examination.

[kellanm13]

I amended my original 1040 form for the 1099, now it shows I owe the IRS money. Should I amend again and delete the 1099 information?

[MichaelDC]

The amendment wasn't necessary. Do what you need to get the return back to its original state so that everything transfers accurately next year. Deleting the 1099 sounds like the way to go. Print out or otherwise save your return now just in case things go south. Let me know.

[kellanm13]

Should I just let them review my original tax forms that were e-filed and ignore the amended version? I never mailed the amended tax return?

[MichaelDC]

That's right. Everything is fine now in your filing. However, you don't want anything that wasn't on the original return that's now in TurboTax to transfer over next year. Your AGI may have changed at least and by then, you might have forgotten all of this by then.

[kellanm13]

Okay, thank you. I just want to make sure everything is okay so I don't mess up. I e-filed the original (without 1099) and never mailed the amended version (1099 which was the mess up) so the IRS will only be able to view the original 1040.

[MichaelDC]

Perfect!