@J141 The program has a flow of logic. If you enter the 1099-Q first, there are no expenses and it is all taxable. If you enter the 1098T first, then the program knows there are expenses to go against the 529/ 1099-Q.
Once you enter the school, select the student, and add other information, things change.
If all of the 529 went to qualified education expenses plus room and board, you can delete the form 1099-Q.
For full details, see page 52 for qualified distributions at IRS Publication 970, Tax Benefits for Education and 529 for Room and Board.
Of course, if you qualify for AOTC, you may want to make some of it taxable, up to $4,000, to the student in order to qualify.
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