I assume I'm one of those taxpayers who is now being audited by my state because of this 529 plan issue highlighted above. All 529 money was used for tuition for my daughter, yet I'm apparently going to lose my refund but also am being told to pay yet another $800 on top of that, on account of a 529 plan distribution used for qualified expenses. Do I re-file my return and try to correct this issue, as it doesn't sound like TT has a handle on it getting done correctly? I've not been audited before and now getting a state audit for 2015 tax year. I don't remember what I had for breakfast...
