I entered 1099-Q and 1098-T in my son's tax return and even though he is a full time student and 1099-Q Gross Distributions > 1098-T Box 1 Amount, TurboTax calculated $39 tax liability (when I reduced Earnings and increased Basis for testing purposes only, it calculates a 0 tax liability - that's why I thought that Earnings/Basis decomposition matters.) Also, my son has income of $1,800 as a teaching assistant, but this income is below a threshold for filing taxes anyway. But TurboTax does not seem to be smart enough to identify this situation as a 0 tax liability. So, do I have to file a tax return for my son or because 1099-Q gross distributions > 1098-T Box 1 and his income is below the threshold, I don't need to bother filing a return for him?
