Last September I switched my granddaughter’s 529 from one financial institution to another. She’s only 4, no money was withdrawn, money was sent from a Raymond James 529 account to Fidelity UFund. Raymond James has filed a 1099-Q, The Trustee to Trustee transfer box is checked. When I enter this information in TurboTax, it significantly reduces my refund amount. I was under the impression that moving money from one 529 plan to another should not create a taxable event.
