Whether you do or don't enter the 1099-Q, in TurboTax, you have the same risk of hearing from the IRS, because when none of the distribution is taxable, TurboTax sends nothing to the IRS.
At least two users have reported receiving a CP2000 letter, from the IRS, on 529 distributions. They replied that their child was in college and the distributions were for qualified expenses, which they listed, but they did not provide receipts.. They later received a notices saying they were in the clear. Others have reported that just sending copies of school statements satisfied the IRS. We have noticed, here in this forum, that the number of 1099-Q notices, from the IRS has dropped off significantly in recent years.
