Ok, so I managed to get to that question (student info section was the trick) and finished up my son's federal return. He was taxed on the portion of the 529 payments no longer covered by the expenses because of the $4000 taken to qualify for the credit). Now my state (NY) is asking if he had any 529 withdrawals not covered by expenses - do I report the same amount that he was taxed on here? or not, because his expenses actually DID cover all of his 529 withdrawals? (but using $4000 toward the tax credit caused some of the 529 to become taxable)?
