Why is other income including some of the interest from a qualifying 529 distribution? All of the distribution was used for qualifying expenses.

TurboTax uses parts of your dependent's college expenses to claim the Tuition credit. That reduces the amount that can be used to claim the  529 earnings, shown on the 1099-Q, as being totally tax free.

For more detail, see:

 https://ttlc.intuit.com/questions/3742999-i-entered-my-1099-q-and-my-1098-t-to-show-i-used-the-money-for-education-but-the-program-is-charging-me-tax-on-the-1099-q-distributions?jump_to=similar-questions

If your income is too high to be eligible for a tuition credit, see this TurboTax FAQ for a work-around: https://ttlc.intuit.com/questions/4451709-why-is-the-529-distribution-from-my-1099-q-showing-up-as-taxable-income

Thanks zeroing our the amount fixed the problem!