I'm back to something I saw on day 1: "Form 8615 is not done"....
"We can't file your return just yet because the government is STILL WORKING on finishing up certain tax forms that are in your 2019 tax return.
Available to file by 3/5/2020
Went through it again and got a new number. TT let me enter the 1098T on my daughters return but said I can't use it (because she is a dependent)...But it kind of recognized I'm doing something with that 1098T on my (parent) return. It wants to tax the whole 1099-Q $4618 'earnings' as regular income. But it was SMART ENOUGH this time to know NOT to add the 10% PENALTY (i.e. it automatically filled in the final lines on the 1099Q that I keep mentioning).
I looked on 1099Q and I can see TT is now entering numbers in the lines in the last two sections....but still nothing on line 2C...that is where I entered the (OVERRIDE) amount of tuition expenses that were STRANDED on my (parent) return ($3590)...plus her book costs. Update: It's actually $3565 remaining as there was a $25 fee adjustment.
I think I asked this before many times in many ways: If the 1098T is $7590 and I enter it on my own (parent) return and 'used' $4000 of that to claim the AOTC...Don't I get the right to move the remaining $3565 (7565-4000) back to my daughters return to offset the 1099Q 'earnings'? And also allow her to claim her book costs on that same line? I'm not 'double dipping'...I'm just moving what I didn't 'use' (to claim the AOTC) back to my daughters return.
However....
TT makes it sound like that "BECAUSE SHE IS A DEPENDENT, SHE CANNOT DEDUCT ANY COLLEGE COSTS"....all her 529 money (earnings) are being FULLY TAXED. That seems Bogus.
And it also 'implies' that you CANNOT transfer any 1098-T dollars back to your dependents form to help offset the 529 'earnings'.
So THIS is the final, specific, question:
******************************************************
**Can i enter a 1099Q line 2c "Adjusted Qualified Higher Education Expenses applied" amount on my daughters federal return to 'transfer' the amount of 1098-T qualified expenses entered (on my/parent return) and 'stranded' (i.e. in excess of the $4000 AOTC qualification)...plus other qualified costs, such as books, Room and Board, etc.
******************************************************
@Hal_Al - Could you swoop back in and look at this last question. I know you have said "Just don't enter the 1099Q"...but I'm curious if what I am proposing is viable.
