Thank you. I get to a screen that says "We'll make this entry zero that's no longer needed. Earlier you told us to treat $x as a taxable education distribution (I entered this on line 17 of the Student Worksheet in the forms section, the amount of the 529 withdrawal that I used to pay tuition, less than $4000 ) in order to claim a larger education tax credit or deduction. However, it's no longer beneficial for any amount to be treated as a taxable distribution and used for an education credit or deduction, so we'll just make this entry zero."
Why is this? Why does the Student Info worksheet still show the entire 529 withdrawal amount as qualified for purpose of regular tax and qualified for purpose of 10% withdrawal?
