malonela
New Member

Deductions & credits

I know this is a relatively old thread, but I continue to deal with this exact issue every year for the past 8 years, with both of my children going through college.  Every year, I notice that I appear to be paying a penalty for withdrawing more money from my 529 plan than the qualified expenses.  But I know that is not the case.  I am very careful about matching my withdrawals to the expenses.  There is no automated way to correct this issue in EasyStep.  Every year, I have to go to the Student Info Worksheet and remove the $10,000 "used for credit".  I am not qualified for any of the credits (income limitations) so I have $0 used for credit.  TT really needs to get this corrected in EasyStep.  It tells me I'm not eligible for the credits but keeps saying I'm using $10,000 for a credit.  I should not have to hunt around in forms for the obscure field on a worksheet causing the problem.