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marallred
New Member

What is a qualified education savings when deducting room and board for school?

When entering educational expenses where do I put room and board?
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2 Replies

What is a qualified education savings when deducting room and board for school?

For the education credit room and board is a not qualified education expense but it can be paid by funds from a 529 plan. 

Hal_Al
Level 15

What is a qualified education savings when deducting room and board for school?

There is no educational tax benefit for Room and board (R&B). R&B are not  qualified expenses for a tuition credit or for tax free scholarship.  As such, there is usually no R&B entry box at the educational expenses screen, in TurboTax (TT).

 

There is an exception. R&B are qualified expenses for a Qualified Tuition Plan (QTP) ( 529  or ESA) distribution. TT will give you an entry point for R&B, but you must have previously entered your 1099-Q* for the QTP distribution (enter your 1099-Q before you enter your 1098-T).  To get the screen to enter Room & Board, answer yes when asked if you have book expenses, in the educational expenses (1098-T) section. 

 

*The 529 plan will issue an IRS required form 1099-Q for any distributions made from the plan during the year. The 1099-Q will be issue in January or early February in the following year.

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