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mhekins
New Member

where do I enter off campus housing costs for college, paid for with 529 funds?

 
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4 Replies

where do I enter off campus housing costs for college, paid for with 529 funds?

You can't enter those room and board expenses (including off campus) yet. This is a known glitch in TurboTax (TT). They are working on it.  It's expected to be resolved in a TurboTax update to be released by February 27th.           

  The 2025 education and 529 sections appear totally redesigned, from last year.

For more info, about 529 distributions, see: https://ttlc.intuit.com/community/college-education/discussion/where-do-i-enter-college-room-and-boa...

KrisD15
Expert Alumni

where do I enter off campus housing costs for college, paid for with 529 funds?

There is an update coming to allow Room and Board to be entered in to the TurboTax program. 

If a distribution was used totally for room and board expenses, you also have the option of leaving the 1099-Q out of the TurboTax program. The 1099-Q is only used for CALCULATIONS and if it was used for Room and Board, and therefore not taxable, it really isn't needed. 

 

According to the IRS: Page 44

"Generally, distributions are tax free if they aren’t more than the beneficiary’s AQEE for the year. Don’t report tax-free distributions (including qualifying rollovers) on your tax return."

 

@mhekins 

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where do I enter off campus housing costs for college, paid for with 529 funds?

Two years in a row I struggle to enter in my kids college expenses and it takes me hours to get my non taxable 529 distributions to not be taxed.  I can't even see how to enter expenses paid for a non dependent.  It used to be easy.   This will my last year using Turbo Tax, after about 20 years.  The only reason I'm finishing is I'm trapped in the Stuck Cost Fallacy- 1 hour to do everything else and 2 hours and 21 minutes trying to do this, so far!  

AmyC
Employee Tax Expert

where do I enter off campus housing costs for college, paid for with 529 funds?

The off campus housing goes under room and board. We have been told the room and board update should be coming out this weekend. Perhaps as  soon as Friday night.

 

If you have a 529 that isn't taxable, don't enter it at all. Only taxable portions should be reported. Since the 1099-Q was not income, it should not be entered. Tuck the 1099-Q into your tax folder. IRS Publication 970, Tax Benefits for Education states that nontaxable distributions should not be entered.

@Sharkbiles 

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