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Level 2
posted Feb 13, 2021 7:19:00 AM

Used child's 529 account for tuition in 12/20 (for spring term). College issued 2 refunds to us (in Jan

Refunds were due to pro-rated room

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1 Best answer
Expert Alumni
Feb 13, 2021 7:22:15 PM

You can return the refunded amounts to the 529 Account within 60 days thus eliminating the potential tax.

When you enter the 1099-Q, the TurboTax program will ask if any amount was returned within the 60 day window.  

1 Replies
Expert Alumni
Feb 13, 2021 7:22:15 PM

You can return the refunded amounts to the 529 Account within 60 days thus eliminating the potential tax.

When you enter the 1099-Q, the TurboTax program will ask if any amount was returned within the 60 day window.