Q1. Does he need to file federal tax return?
A1. No. His income is below the filing threshold.
Q2. As all 1098-T and 529 tax forms came on his name and tuition (and other eligible expenses) is much more than 529 reimbursement, do we need to show that in our tax filing?
A2. No. When fully covered by expenses, the 1099-Q can be ignored.
Q3. Can he file just IL State return without filing Federal return?
A3. Yes. If he uses TurboTax, he will have to prepare a federal return first (but doesn't have to file it), so the info will transfer to the state return.
(guessing he not need to file federal return)? He will be claim on our State return too.
