I went back and added the 1099Q to parent's return. Turbo Tax asked who the student and I was able to select the dependent. Then a page came up that allowed me to put in expenses. The 1098T was also added with Box 1 amount as shown on the form (11K). Box 5 and the rest of 1098T except Box 1 is empty. When all of the expenses were totaled, including R&B, they exceeded the 1098T Box 1 and 1099Q Box 1 amounts (which are the same), and the 1099Q gain was deemed taxable. I was under the impression that 1099Q gain wasn't taxable if qualified expenses exceeded the distribution. I need assistance specific to this case please.
