Q1. Where do I enter R&B? There is no place for it in the “Here’s Your Education Summary” section.
A. 1. To get the screen to enter Room & Board, answer yes when asked if you have book expenses. On her return, be sure you enter the 1099-Q first so that TT knows she needs to enter R&B.
Q2. Where do I indicate $4000 of 529 money to be taxable for the AOTC claim?
A2. TT will assume $4000 for the AOTC. You may have to verify that on the student information worksheet (part VI, line 17)
Q3 Or has TT already figured this out?? TT tells me I am receiving AOTC claim of $2,248.
A3. Yes, If TT calculated that, it has already assign $4000 tuition to AOTC.
Q4. TT tells me I am receiving AOTC claim of $2,248, not sure why it isn’t the full $2,500.
A4. What's on line 15 of form 1040? It sounds like you don't have enough tax liability to get the full credit (only 40% of the calculated amount is refundable).
Q5. Am I able to confirm this was all entered correctly and shows my AOTC credit as well as my medical premium credit based on my 1095-A, etc
A5. For details look at the student info worksheet and form 8863. I'm not familiar with the medical premium. But since it's refundable, I would think it's not affected.
Q6. Does claiming AOTC money affect the Child Credit of $500? This currently is showing $0 on TT. I do have her listed as a dependent, she is 23 years old and a full time student. Seems like I should be getting the full $500
A6. Yes, same as the reduced AOTC. The $500 Other dependent Credit is non refundable. If your tax liability is already reduced to 0 by other credits, you may not get it (or all of it).
Q7. I’m not planning to enter 1099-Q information, on my return, as I understand it is not needed even though I’ve been prompted a couple times as I go through steps in TT. I did answer the questions indicating that I received this form and who the student is.
A7. Yes, you don't have to enter it on your return. But you can. if you answered that you received it, you should indicate that she is the recipient. TT will calculate the taxable amount and tell you the recipient-beneficiary should report it. Since you daughter is the recipient of the 1099-Q, she enters it on her return. The taxable portion goes on her return. (which you know should be $3068). The interview and calculation are actually smoother in your interview than in hers.
