If your MAGI (joint) is over $180,000, TurboTax does not allow the "Tuition and Enrollment Fees" line to be edited. Please help.
I'm stuck in a situation where the 529 distribution was paid to me, the parent and account holder, not my daughter who is the beneficiary. So box 6 on the 1099Q is checked stating the above, and I heard this gets the IRS's attention. The distribution was qualified as it matched the tuition, room & board fees from the University. Nothing should be taxable, nor should there be any 10% penalty. I believe, if I'm understanding this topic correctly, if the 1099Q distribution is fully qualified (equals or is less than university costs) then you don't even have to report this on your tax return.
And yes, this is the first year I'm going through this as my daughter was a freshman. Also helps explain why my daughter, 18 at the time, was not more responsible in notifying me that tuition was due; by the time she "woke up," we already incurred a late fee and had to get payment in to the school within two days; that is why I paid it, and the 529 reimbursed me. Kids!!! Not making that mistake again. Thanks so much!
