Took $1250 of distribution, of which $430 is earnings per the 1099Q. The $430 is appearing as taxable income on Sch 1 Ln 8z. Tuition expenses, even after deducting 4K for AOC, are far more than distribution. AQEE is 9983, less 4000, is 5983. This exceeds the 1250 obviously. Why is TT making the earnings portion taxable at all, when the entire distribution (earnings and basis) was used for qualifying expenses.
