How do I enter a REcontribution to a 529 plan to reduce what now appears as income due to my 1099-Q including funds which were returned to the 529plan?

I withdrew funds from my 529 plan to pay my daughters tuition, but returned the funds to the same 529 plan a week later as she decided not return to college. (I am the account owner, she is a beneficiary)

Her 1099-Q from the 529 plan includes that "unused" money, which now seems to appear as "income" on my federal return -- which I seem to be getting taxed on. Is there a way to show the Recontribution on the federal form so I am not paying on money I didn't use? My Year-End Statement from the 529 reflects to contribution.

1916

1 Best answer

New Member

Jun 1, 2019 10:05:27 AM

As you enter the 1099-Q, continue on through the interview. You're asked if you transferred money to another 529 within 60 days. Say Yes there.

New Member

Jun 1, 2019 10:05:27 AM

As you enter the 1099-Q, continue on through the interview. You're asked if you transferred money to another 529 within 60 days. Say Yes there.

New Member

Jun 1, 2019 10:05:29 AM

Thank you for your help. I actually did find this section in Turbo Tax prior to receiving your answer, so I really appreciate you affirming that I made the correct choice!

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How do I enter a REcontribution to a 529 plan to reduce what now appears as income due to my 1099-Q including funds which were returned to the 529plan?