That's what I'm referring to. TurboTax seems to want you to enter your 1099-Q information, which makes all your 529 plan distributions taxable. How then to claim the 10k exemption for withdrawal for K-12 expenses? No guidance in the program, and the stock community answers are pre-2018 and misleading. I did figure out that working with actual tax forms, you would not report distributions at all, so long as all distributions were used for qualified expenses. But in my case I accidentally withdrew too much. If I were working directly on actual tax forms, the procedure (according to several articles) would be to report only the PORTION of the 1099-Q income that wasn't spent on qualified expenses. So I'll do that in TurboTax, and the income reporting should then be OK. I will also be subject to a 10% penalty on the income, but I'm not sure TurboTax has that figured out. The penalty section has an item for early retirement withdrawals, but not for over-withdrawal from a 529 plan.
