How do I claim savings bonds that I cashed and used for education?

ambularr-meade · ‎January 25, 2022

HelenC12 · ‎January 25, 2022

The screens for savings bond interest and educational expenses come at the end of the interest interview.

Enter your 1099-INT form.
On the Review your 1099-INT info screen, select Done.
On the Did you cash any Series EE or I savings bonds? screen, select Yes and Continue.
On the Did you use your U.S. savings bonds to pay for higher education expenses? screen, select Yes and Continue.
Continue entering the information until complete.

Note: The interest from these bonds is tax-free if used for qualified higher education expenses. Also, interest on Series EE and I savings bonds is usually exempt from state and local taxes.

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Hal_Al · ‎January 25, 2022

Report the savings bond at the 1099-INT screen. When TurboTax (TT) sees the amount in box 3 of the the 1099-INT, it will ask the education questions.

If you claiming tuition credits/deduction, you cannot use the same tuition payment to claim the credits and the savings bond exclusion. For example, if you paid a total of $6000 in tuition and will use$4000 to claim the American Opportunity tuition credit, you may then only use $2000 to calculate the savings bond interest exclusion.