Let me look further. It may have something to do with using funds (shown on the 1099-Q) from our States Tuition investment plan for college expenses. After entering, in the step by step (and entering 1098-T's from 2 colleges), you are asked various questions, including for Principal and Interest payments on Qual educ loans., but when I enter figures here, my tax liability goes up. Seems illogical. It might have to do with not entering all my children's college expenses. So I'm now analyzing all of there expenses to plug into the Student information worksheet to see what's going on. None of it makes sense since we can't claim any interest (income too high), but I received a 1098-E from the lender so I assume it must be entered and not ignored.
