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State tax filing
Thanks. The problem is that Turbo Tax is reducing 529 plan distributions by $10k (per child) resulting in taxable income on the distribution and a penalty. There was no way to remove the $10k credit that Turbotax was populating (a known bug). So to avoid a tax (while still entering all 529 plan expenses into turbo tax), I had to increase the expenses by $10k. I understand none of it gets submitted with the electronic return but nevertheless, you should be able to enter the correct amount - if nothing else but for records. Hope they fix this. Thanks
‎February 21, 2022
8:09 AM