My dependent 25 year old granddaughter is in graduate school working toward a degree, at least half-time. In 2020, she took out $5940 from her 529 account for tuition & received a1099-Q. The school sent her a 1098-T for $5940. She is not filing her own tax return. She has no other income. She did not pay for books & supplies out of the tuition money. She received no scholarships or financial aid. She did not receive the American Opportunity or Hope Credit.
I'm trying to enter her education expenses in my tax return but the data entry form only lists expenses for books, classroom supplies & lab equipment. There is no provision for entering tuition. The instructions say that I don't need to enter this 1099-Q because I'm not the recipient. For the 2019 tax year, I had similar tuition entries & there was no problem. Now how do I handle her 1099-Q & 1098-Q?
