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We are claiming our son (first year college student) on our return. We have both a 529 and a Coverdell on him. Where does this info go on our form?

Unsure how to properly answer the questions pertaining to the 1099-Q in order to proceed.
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MiriamF
Intuit Alumni

We are claiming our son (first year college student) on our return. We have both a 529 and a Coverdell on him. Where does this info go on our form?

You should have gotten a 1099-Q for both the Coverdell and the 529. Both would be entered under Federal Taxes > Deductions & Credits > Education > ESA and 529 qualified tuition programs. Or, you could type "1099-Q" in the Search box, then select Jump to 1099-Q.

The maximum that can be contributed to a Coverdell is $2,000 per beneficiary per year. The maximum that may be contributed to a 529 plan is $2,000 per owner per year. Your son could have multiple 529s naming him as beneficiary, but only one Coverdell.

Enter the 1099-Qs exactly as printed.

Section 529 plans are state plans. Enter the state that sponsored the plan. Each state has different rules, and TurboTax should be able to pull up the correct rules for the plan.

If any of the money was used for something other than qualified education expenses, the earnings may be taxable. However, if the excess was caused by your son receiving a scholarship or grant, there will be no penalty.

If you have other questions, please reply with more specific information.

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