Hal_Al
Level 15

Education

It's complicated. In order to know what to enter, you need some idea of the results expected and/or needed. The interview is complicated because it has to handle multiple scenarios.  

There are three things you can do with your Qualified educational expenses (QEE):

  1. Allocate then to scholarships (so that the scholarship remains tax free)
  2. Use them to claim an education credit
  3. Allocate them to the 529 distribution (1099-Q) so that it will not all be taxable

TurboTax allocates QEE, in that order, until you tell it otherwise.

Provide the following info for more specific help:

  • Box 1 of the 1098-T
  • box 5 of the 1098-T
  • How much was paid in 2021 for 2022  and not reported on 1098-T (I assume $11,160 [17830 - 6670])
  • Any other scholarships not shown in box 5
  • Does box 5 include any of the 529/ESA plan payments (it should not)
  • Is any of the Scholarship restricted; i.e. it must be used for tuition
  • Box 1 of your 1099-Q
  • Box 2 of your 1098-Q
  • Box 1 of her 1099-Q
  • Box 2 of her 1098-Q
  • Who’s name and SS# are on the 1099-Q, parent or student (who’s the “recipient”)?
  • Room & board paid. If student lives off campus, what is school's R&B charge. If the student lives at home, only the school's board charge for on campus students. 
  • Other qualified expenses not included in box 1 of the 1098-T, e.g. books & computers
  • How much taxable income does the student have, from what sources
  • Are you trying to claim the tuition credit (are you eligible)?