*More info needed. Who was the "recipient" of the 1099-Q (that's whose return the 1099-Q goes on)?
Daughter--Whenn I put it on her return---I tried to find where to put the room and board expenses but TT will not let me do it---I figure it is something I answered or because she is a dependent?
(so end point it taxes the full 16K earning and gives a penalty)--
*Does the student have any other income? How much? And from what source (wages or investments)?
The only income is from the Scholarship 32 K (tuition and fees only 17K) the remaining 15 K is taxed as income.
*Why do you think you don't qualify for a tuition credit? Income too high or there's not enough expenses? Have you claimed the American Opportunity Credit (AOTC) in the past? How many times? If you qualify, it may behoove you to claim it (and student pay more tax).
The scholarship covered almost all expenses--tuition and room and board-but only "tuition expenses"can be claimed---under the scholarship Remainder is taxable.
The 529 we just took out as it was not needed and we don't have any other kids(previously we were able to use room and board expenses against that-so only a portion would be taxable (and no penalty because of the scholarship)-but can not find how to do it on TT)
Thanks again for time and effort!
