SoCalGal22
Employee Tax Expert

Get your taxes done using TurboTax

Thank you for asking this question about 529 qualified expenses and penalties.

yes there are penalties for taking out money from these accounts for non-qualified expenses.  And many people don't realize that they can over withdraw until they combine scholarship payments and 529 account withdrawals on the Education Credit.  There's a lot on information explained here 

 

https://turbotax.intuit.com/tax-tips/college-and-education/information-on-529-plans/L0vrZiFuC

 

I hope this answers your question about 529 account qualified expenses and penalties. 

have a great day!

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"