Solved: I have entered the info from 2 1099-Q forms but their total does not appear on my deductions page. It shows on the 1099Q pages but the Fed Tax Deduction shows 0.
Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
trjtaxes2015
New Member

I have entered the info from 2 1099-Q forms but their total does not appear on my deductions page. It shows on the 1099Q pages but the Fed Tax Deduction shows 0.

 
1 Best answer

Accepted Solutions
JaimeG
New Member

I have entered the info from 2 1099-Q forms but their total does not appear on my deductions page. It shows on the 1099Q pages but the Fed Tax Deduction shows 0.

The Distributions from an ESA are not Deductible. Additionally if you use an ESA distribution for education expenses you can no longer take the Tuition Deduction or the Lifetime Education Credit. If your education expenses exceed the ESA distribution, only the excess may be considered for the American Opportunity Credit, if the student qualifies for this credit.  

If the Distribution doesn’t exceed the amount of the student's qualifying expenses, then the distribution is not Taxable and you don't have to report any of the distribution on your tax return. Quite simply if this is the case you don't have enter the information from 1099-Q. I understand that this sounds strange, especially regarding taxes, but the IRS does not request any additional information to substantiate whether or not your Distribution exceeded your actual qualified expenses. Nevertheless it would be wise to keep a good record of these expenses just in case your return gets picked up for examination.

TurboTax provides a second option. If you have already entered the information from 1099-Q you can counter these amounts by entering Qualified Education Expenses in the Credits and Deductions Section (please view the screenshot below). Additionally if these expenses exceed the ESA distribution, the part of the excess will be considered for the American Opportunity Credit, if the student qualifies for this credit.

View solution in original post

4 Replies
Critter
Level 15

I have entered the info from 2 1099-Q forms but their total does not appear on my deductions page. It shows on the 1099Q pages but the Fed Tax Deduction shows 0.

That is because it's not a deduction ... it is only netted against the education expenses to see if you are eligible for a credit or if you have any taxable distributions.
trjtaxes2015
New Member

I have entered the info from 2 1099-Q forms but their total does not appear on my deductions page. It shows on the 1099Q pages but the Fed Tax Deduction shows 0.

Thank you
JaimeG
New Member

I have entered the info from 2 1099-Q forms but their total does not appear on my deductions page. It shows on the 1099Q pages but the Fed Tax Deduction shows 0.

The Distributions from an ESA are not Deductible. Additionally if you use an ESA distribution for education expenses you can no longer take the Tuition Deduction or the Lifetime Education Credit. If your education expenses exceed the ESA distribution, only the excess may be considered for the American Opportunity Credit, if the student qualifies for this credit.  

If the Distribution doesn’t exceed the amount of the student's qualifying expenses, then the distribution is not Taxable and you don't have to report any of the distribution on your tax return. Quite simply if this is the case you don't have enter the information from 1099-Q. I understand that this sounds strange, especially regarding taxes, but the IRS does not request any additional information to substantiate whether or not your Distribution exceeded your actual qualified expenses. Nevertheless it would be wise to keep a good record of these expenses just in case your return gets picked up for examination.

TurboTax provides a second option. If you have already entered the information from 1099-Q you can counter these amounts by entering Qualified Education Expenses in the Credits and Deductions Section (please view the screenshot below). Additionally if these expenses exceed the ESA distribution, the part of the excess will be considered for the American Opportunity Credit, if the student qualifies for this credit.

View solution in original post

trjtaxes2015
New Member

I have entered the info from 2 1099-Q forms but their total does not appear on my deductions page. It shows on the 1099Q pages but the Fed Tax Deduction shows 0.

Thank you.
Dynamic AdsDynamic Ads
v
Privacy Settings