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How can I file Form 5329 in TurboTax? I do not see this option. I withdrew funds from 529 Plan that was not used for qualified expenses; therefore, I need to report this.

 
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1 Reply
MayaD
Expert Alumni

How can I file Form 5329 in TurboTax? I do not see this option. I withdrew funds from 529 Plan that was not used for qualified expenses; therefore, I need to report this.

TurboTax will attach the 5329 if it is required. 

Did you receive a 1099-Q Payments From Qualified Education Programs (Under Sections 529 and 530)? 

When you report the form on your return, TurboTax will ask you questions and will attach form 5329 if required. 

 

If assets in a 529 are used for something other than qualified education expenses, you'll have to pay both federal income taxes and a 10% penalty on the earnings.

If you only owe the additional 10% tax on the full amount of the early distributions, you may be able to report this tax directly on Schedule 2 (Form 1040), line 8, without filing Form 5329

Check,  2023 Instructions for Form 5329

 

To preview your return:

  1. On the menu bar on the left that shows.
  2. Select Tax Tools
  3. Select Tools
  4. On the pop-up menu
  5. Select View Tax Summary
  6. On the left sidebar, select Preview my 1040
  7. Scroll down to see schedule 2

Where do I enter a 1099-Q?

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