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tcurrie85
New Member

I'm confused why I am being taxed on the money I received from a Coverdell ESA, which I never contributed to, and which I used for Education. Can someone explain this?

 
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JulieR
Expert Alumni

I'm confused why I am being taxed on the money I received from a Coverdell ESA, which I never contributed to, and which I used for Education. Can someone explain this?

After you enter the information about the distribution from 1099-Q, you'll need to go back to the education section of the return and enter your qualified expenses. (see sample screenshot below)

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