@ny1301 You have no scholarships or tuition credit to deal with so this is real easy. Don't enter either the 1098-T or the 1099-Q. Save yourself the hassle of trying to make TurboTax come up with the answer you already know: none of it is taxable.
When the box 1 amount on form 1099-Q is fully covered by expenses, TurboTax will enter nothing about the 1099-Q on the actual tax forms.
If it's really important to you to get the worksheet that TT produces; this work around is simpler. Instead of entering the educational expenses in the education expenses section, enter it in the 1099-Q section of TT. The workaround is: when asked who is the student, check "someone not listed here" (Lying to TurboTax to get it to do what you want does not constitute lying to the IRS). On the next screen, enter the real student's name. This will eventually give you one simple screen to enter all expenses.
