Yes, you can still enter the forms into your TurboTax program and your program will tell you if your son needs to report income from that distribution.
Are you getting any Education Credits?
Do you have expenses such as Room and Board to allocate towards the distribution? If the student had to study remotely, did you supply meals? Did the student need a laptop and internet service?
Did the student get any other aid?
The additional tax is waived if:
"3. Included in income because the designated beneficiary received: a. A tax-free scholarship or fellowship grant (see Tax-Free Scholarships and Fellowship Grants in chapter 1); b. Veterans' educational assistance (see Veterans' Benefits in chapter 1); c. Employer-provided educational assistance (see chapter 10); or d. Any other nontaxable (tax-free) payments (other than gifts or inheritances) received as educational assistance. This exception applies only to the extent the distribution isn't more than the scholarship, allowance, or payment.
4. Made on account of the attendance of the designated beneficiary at a U.S. military academy (such as the USMA at West Point). This exception applies only to the extent that the amount of the distribution doesn't exceed the costs of advanced education (as defined in section 2005(d)(3) of title 10 of the U.S. Code) attributable to such attendance.
5. Included in income only because the qualified education expenses were taken into account in determining the American opportunity or lifetime learning credit (see Coordination With American Opportunity and Lifetime Learning Credits, earlier)."
Because it is a complicated subject, it is best to enter everything into your program and get the result that way. Then report the income on the students return if necessary. Yes, the student may be subject to the "Kiddie tax".
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