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Turbotax says a portion of 529 must be counted as income
My son is a 20 y/o full time college student. His income was about 4500$ for 2021. His 1099-T shows $12898 in tuition, he has another 14575$ in room and board another $700 in books and fees. SO about $28K in expenses. 1099 from 529 distribution box 1 is $24030.00. We make well over any income to receive any education, dependant or opportunity credits whatsoever. We do claim him as a dependent because we provide more than %50 of his support. When inputting all the college expenses and 529 distributions Turbotax says a portion of his 529 distribution, about 9K is taxable to him yet he has more expenses than distribution...help?
‎February 21, 2022
9:38 AM