I am preparing my dependent daughter's return and Turbotax prompts me to enter education expenses on her federal return. This then prompts me to enter the 1098-T. The Tuition from Box 1 is then flowing thru to her MA state return and shows up on Schedue Y line 15 as a deduction (which I don't think is correct) . Turbotax wont let me delete Schedule Y.
How do I prevent Schedule Y line 15 from showing this deduction on her State return if Turbotax prompts me to enter a 1098-T on her Federal return even thought she is my dependent?
Turbotax prompts me to enter the 1098-T on my daugher's return as follows:
"It looks like you're trying to enter the education credits for yourself, but earlier you indicated that you were claimed as a dependent on someone else's return - probably a parent's.
Generally, whoever claims you as a dependent should take the education credits. Yes, even though your school probably sent Form 1098-T to you, in your name, with your Social Security number. However, you should enter your education expenses to avoid paying tax on your Education Savings Account (ESA) or qualified tuition program (QTP)."
