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Q. Should I remove the 1098Q from my return? A. Yes   The 1099-Q is  only an informational document. The numbers on it are not required to be entered onto your (or your student's) tax return. The interview is complicated and it's easy to make mistakes. Avoid it if you can and you probably can.  You can just not report the 1099-Q, at all, if your student-beneficiary has sufficient educational expenses, including room & board (even if he lives at home) to cover the distribution. When the box 1 amount on form 1099-Q is fully covered by expenses, TurboTax will enter nothing about the 1099-Q on the actual tax forms. But, it will prepare a 1099-Q worksheet for your records (you don’t need it). You would still have to do the math to see if there were enough expenses left over for the student to claim the tuition credit. You also cannot count expenses that were paid by tax free scholarships. References: On form 1099-Q, instructions to the recipient reads: "Nontaxable distributions from CESAs and QTPs are not required to be reported on your income tax return. You must determine the taxability of any distribution."  IRS Pub 970 states: “Generally, distributions are tax free if they aren't more than the beneficiary's AQEE for the year. Don't report tax-free distributions (including qualifying rollovers) on your tax return”. "IRS Publication 970, Tax Benefits for Education states: If the entire 1099-Q went to qualified expenses, room and board, tuition, etc; then, you do not need to enter the form."  _____________________________________________________________________________________________    The 2025 education and 529 sections appear totally redesigned, from last year. You can't currently enter  expenses. This is a known glitch in TurboTax (TT). They are working on it.  It's expected to be resolved in a TurboTax update to be released by February 27th.            For 529 plan owners, like you, with non dependent beneficiaries, it really isn't broken.  In the 529/1099-Q interview, when you select that the "Designated beneficiary of this 1099-Q" is "Someone else" (other than taxpayer, spouse or dependent), TurboTax will give you the entry screen for expenses (at least in my windows Deluxe version). I assume this is because you will not be entering anything later in the 1098-T section. 

Thanks for confirming. This does look to be incorrect. Do you have a recommendation for how to report the issue?   The values in my case are: - 1099-R   - Box 1 - Box 5: $116   - Box 2a: $231   - Box 7: "G"   - 1040   - Line 5a matches 1099-R Box 1   - Line 5b: $347

I would like to take a deeper look at this. However, I need a diagnostic file which is a copy of your tax return that has all of your personal information removed. You can send one to us by following the directions below:   TurboTax Online:   Sign into your online account. Locate the Tax Tools on the left-hand side of the screen. A drop-down will appear. Select Tools On the pop-up screen, click on “Share my file with agent.” This will generate a message that a diagnostic file gets sanitized and transmitted to us. Please provide the Token Number that was generated in the response.   TurboTax Desktop/Download Versions:   Open your return. Click the Online tab in the black bar across the top of TurboTax and select “Send Tax File to Agent” * This will generate a message that a diagnostic copy will be created.  Click on OK and the tax file will be sanitized and transmitted to us. Please provide the Token Number  (including the dash) that was generated in the response.   *(If using a MAC, go to the menu at the top of the screen, select Help, then, “Send Tax File to Agent”)  

This reject is due to the IRS not being able to confirm your identity based on the your AGI from last year. This number has to match what the IRS has in their database exactly, so returns get rejected for this reason from time to time.    To e-file again, you need to enter a different number to get it to match the IRS database. If you didn't file last year or you filed late (after the October deadline), try entering 0 for your AGI. If the IRS continues to reject you, we recommend that you print and mail your taxes in.    If you used TurboTax Online, just sign back in then follow the step-by-step instructions on how to change your AGI.    If you used the TurboTax CD/Download, open your return in TurboTax and go to the File tab. Select the Continue button until you reach a screen titled "Review Your Federal Filing Choices". From there, select the Edit button for "You have provided your identifying information for e-filing". Once you've changed your AGI, continue on to re-file your return and you'll be all set.   How do I find last year's AGI?

Thanks to both Balditax and Monika for your help. I ended up shutting down my computer and restarting everything and it worked. I wasn't positive that the update was available to my situation until you both confirmed so thanks again.

I would like to take a deeper look at this. However, I need a diagnostic file, which is a copy of your tax return that has all of your personal information removed. You can send one to us by following the directions below:   For TurboTax Online: Sign into your online account. Locate the Tax Tools on the left-hand side of the screen. A drop-down will appear. Select Tools On the pop-up screen, click on “Share my file with agent.” This will generate a message that a diagnostic file gets sanitized and transmitted to us. Please provide the Token Number that was generated in the response. For TurboTax Desktop/Download Versions: Open your return. Click the Online tab in the black bar across the top of TurboTax and select “Send Tax File to Agent” * This will generate a message that a diagnostic copy will be created. Click on OK and the tax file will be sanitized and transmitted to us. Please provide the Token Number (including the dash) that was generated in the response. *(If using a MAC, go to the menu at the top of the screen, select Help, then “Send Tax File to Agent".   We look forward to hearing from you.  

If the 1099-NEC is entered directly as business income, TurobTax will treat it as self-employment income and calculate self-employment tax, which would be incorrect if this was the sale of a personal asset.   Instead, you can treat it as a sale of personal property:    In this situation you will report the sale in the Investment/Sale of Personal Property section. Enter your original cost (basis) so the gain calculates to $0 (if you didn't make a profit). Follow the instructions in this article to enter the sale of your property.  

@taxhelp931    Even if you find it....don't upload a picture or PDF of your files....The AI that interprets where the $$ go, has had some massive foul-ups. _____________________ Yep, my import form Fidelity said it was supposedly Successful,  BUT nothing was there the first time I tried.   BUT..I had hit "Block" for  a pop-up during the process, that was supposed to allow Intuit access to my devices...sounded shady.   The second time I "Allow"ed it, and the data came in OK.  

To avoid this, ensure you are only entering the information as part of your rental and not separately in the 1099-MISC section.   First, you will need to delete the Form 1099-MISC:   Go to Tax Tools, Tools, Delete a form Find the 1099-MISC you entered and delete it Also, look for any Schedule E Worksheet or Royalty Worksheet that was created in error and delete those too   Next:    Go to Wages & Income, Rental Properties and Royalties (Schedule E) Continue to your specific rental property When you reach the Rental Income section, select "1099-MISC" Enter your Payer name and the amount in Box 1 (Rents) Since you are inside a Rental property profile, TurboTax will understand that this 1099-MISC only applies to the rent and will stop asking about royalties

If you are getting the message "Oops there was a drop in our connection" make sure your internet connection is strong and stable.  Also, restart your computer or reset your router. And try using incognito mode.   If you are using a VPN, disconnect it as this can interfere with the connection. Try a wired or ethernet connection. If the online version continues to fail, consider switching to the TurboTax Desktop/Download version. Please follow these instructions to do this. How do I switch from TurboTax Online to TurboTax Desktop? You can also contact TurboTax Customer Service using this link: TurboTax Customer Service.