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Returning Member
posted Apr 10, 2023 2:45:19 PM

CT1040 Line 49 subtraction for a QTP distribution

Hello,

 

I just reviewed the 'CT1040 Instructions (Rev 12/22).'  There may be an error in Turbo Tax in how it handles 529 college distributions for Connecticut taxpayers even if the 529 distro is not from the state's CHET 529 program (mine is out-of-state). 

 

On page 10 of the state's instruction, it states "Congress passed legislation excluding from federal gross income any distribution from a qualified state tuition program (such as CHET) to the extent the distribution is used to pay for qualified higher education expenses." 

 

Turbo Tax does not ask about any out-of-state 529 distro and then fill in the CT1040 forms/worksheets to allow for this reduction of taxable income.  Am I missing something and/or how should I deal with this for the sake of accuracy?

 

Thanks in advance!

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1 Replies
Returning Member
Apr 10, 2023 2:47:53 PM

Also, if I'm correct, will a software update be released to fix this in the future?