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I'm surprised TT is giving you the AOC.  You may have answered something wrong in the interview (most likely that your student is a degree candidate).    High school students are not usually eligible for the more generous American Opportunity Credit, unless they are officially enrolled as a degree candidate.  From pub 970: "Example 3. During the 2025 fall semester, Larry was a high school student who took classes on a half-time basis at College X. Larry wasn't enrolled as part of a degree program at College X because College X only admits students to a degree program if they have a high school diploma or equivalent. Because Larry wasn't enrolled in a degree program at College X during 2025, Larry wasn't an eligible student for tax year 2025."  Reference: https://www.irs.gov/publications/p970/ch02.html

@tweety4457 A Form 1099-S is not entered anywhere on a tax return.  You only need to use the amounts from the 1099-S which should be what you received from the sale of the property.  The form should have nothing to do with property taxes.   Follow the procedure posted above on this thread to report the sale of the home and to enter any property taxes paid for the home in 2025.

If you have not electronically filed the tax return, review the IRS form W-2 entry where the Qualified Overtime Deduction was claimed, then enter the correct amount.     Follow these steps:   Down the left side of the screen, click on Federal. Down the left side of the screen, click on Wages & Income. Click the down arrow to the right of Wages & Salaries. Click to the right of Wages and Salaries (W-2). At the screen Let's check for other situations, select Overtime.  Continue.  At the screen Let's see if your overtime qualifies as tax-free, select either:     Help me calculate my eligible overtime. No help needed-I know what to enter. For the Qualified Overtime Deduction:       Maximum annual deduction is $12,500 ($25,000 for joint filers). Deduction phases out for taxpayers with modified adjusted gross income over $150,000 ($300,000 for joint filers). The deduction reduces federal income tax liability, it does not exempt overtime pay from Social Security and Medicare taxes.  Employees will still owe these taxes on their overtime earnings. Taxpayers filing as married filing separately are not eligible for the deduction. The deduction is available for both itemizing and non-itemizing taxpayers. See this TurboTax Help.  

Yes. You can open a self-employed retirement account to reduce your taxable income, even if you’ve already maxed out your W-2 401(k) and Roth IRA.   However, because you have already reached the $23,500 employee contribution limit for 2025 at your day job, any additional contributions to a self-employed plan must be made as the employer.    As a sole proprietor, you act as both the employee and the employer. These employer contributions do not share a limit with your W-2 employee deferrals, allowing you to "stack" your total retirement savings.   Choosing the Right Plan You have two primary options, both of which can still be established for the 2025 tax year if you act by April 15, 2026 (or October 15, 2026, if you filed an extension).   1. The SEP-IRA (Best for Simplicity)   This is the easiest option and can be opened instantly online at most major brokerages. Contribution Limit: You can contribute the lesser of $70,000 or roughly 20% of your net self-employment earnings (calculated as net profit minus the deductible portion of your self-employment tax). The Catch: You mentioned withdrawing some of your Roth contribution. If you plan to use the "Backdoor Roth IRA" strategy in the future, having a balance in a SEP-IRA triggers the Pro-Rata Rule. This means the IRS will tax a portion of your Roth conversion based on the total value of all your IRAs.   2. The Solo 401(k) (Best for Long-Term Planning)   Slightly more paperwork and usually requires an Employer Identification Number (EIN). Under the SECURE Act 2.0, you can now establish this retroactively for the 2025 tax year up until your tax filing deadline Contribution Limit: Since your employee bucket is full, you are limited to the same 20% employer profit-sharing contribution as the SEP-IRA The Advantage: A Solo 401(k) does not trigger the Pro-Rata Rule. This keeps the door open for tax-free Backdoor Roth IRA conversions in the future   Next Steps To claim this deduction for 2025 since you have already filed, you will need to:   Open and fund the account by the tax deadline File an amended return (Form 1040-X) to report the contribution and receive your tax refund

Where can I find more information about this "provision"? Can I find this logic in some Turbotax worksheets? Will the fact that she checks the box "someone else can claim me as a dependent" (1040 line 12a) and claiming  LLC credit trigger an IRS audit?

We have reviewed the diagnostic return that you provided, specifically the QBI calculated for the Rental Enterprise. Because you reported no wages or UBIA for QBI, and your taxable income was over the phase-out threshold, QBI was reduced to zero. You can review this calculation on the QBI Component Worksheet for Enterprise #1. Note the reduction ratio of 100% on Line 6. This means your QBI income isn't used for QBI calculations in the absence of wages or UBIA (Line 15).   Form 8995A reports $47 of QBI from REIT dividends, which appears on Form 1040 Line 13(a).

Diane,   I just realized that if I just randomly toss in a much higher number, say $3,000 for a vacuum instead of $300, it does then add it to/affect my overall Expenses amount.  However, if I add a smaller legitimate amount, say $15 for rubber gloves, it doesn't add to the overall Expenses amount at all, like it only adds expenses if they are a higher dollar amount.  I'm very confused...

In Reply: Thanks, if all goes onto line 6a in TurboTax, it becomes red from the overage. Reducing the overage and putting it on 6c makes both accepted. TT is not automatically allowing the 31,000 limit which I did not exceed. So, if acceptable to split it into the 2 cells, then this is settled. It also leaves the W2 alone. It seems that splitting is acceptable and nothing else is needed. Since nothing identified the overage as catch-up, this may be semantics about where to put it by carefully reading. The more I read, the more it makes sense. An alert, caution or popup would be helpful to guide this rather than simply make it red and leave it for this discussion, etc., to figure out. The end result works out without concern by splitting the values on 6a and 6c and as a lesson to watch out. Thank you again

You can use the education optimizer to change your education credit.   How do I override the TurboTax Education Optimizer selection?   If you qualify for two or more education credits or deductions, the TurboTax Education Optimizer picks the one that gives you the biggest tax break.    To override this selection, follow these instructions.   Open or continue your return. Navigate to the education credits and deductions section: TurboTax Online/Mobile: Go to the education credits and deductions screen under Federal Review. TurboTax Desktop: Search for and select letme (one word, no space). On the Education Credits and Deduction screen, you can switch to a different education credit or deduction, assuming you meet the qualifications.    

No one can call you from the user forum.  And we do not arrange or schedule calls to users from this forum.   This is a public web site that can be seen by anyone—including scammers and would-be identity thieves who would love to contact you and pretend to be from TurboTax.  Please remove the personal information you posted here ASAP by returning to your post and clicking the three little blue dots on the upper right to edit your post.           If you are using online "Live Assist" you have to contact your own "expert."     You can arrange for the Live help you are paying the extra fee for with your questions from 5 a.m. to 9 p.m. Pacific time. https://ttlc.intuit.com/turbotax-support/en-us/help-article/product-setup/connect-tax-expert-turbotax-live/L73wOZD5D_US_en_US?uid=m8zw1pbb  

If you have not already filed, you can delete Form 2210 and go back through that section in TurboTax again.   To do this, you can use the steps listed below. If you are using TurboTax Online you can delete a Form 2210 as follows: In your left panel of your TurboTax screen click on "Tax Tools" And then Click on "Tools" Click on "Delete a Form" Scroll through your list of Forms Click the garbage can next to "Form 2210" If you are using TurboTax Desktop, you can delete a Form 2210 as follows: Click on "Forms" in the upper right of your TurboTax screen to switch to "Forms Mode" In your left panel scroll down and look for "Form 2210" In your right panel at the bottom of Form 2210, click on "Delete Form" Click on "Yes" to confirm the deletion. To get back to those screens in TurboTax to re-enter your information you can: Click on Search at the top right of your TurboTax screen Type underpayment penalty in the search box and Enter Click on the link that says Jump to underpayment penalty Please return to Community if you have any additional information or questions and we would be happy to help.