topic Up-Front Fee for Study Abroad in Education

Up-Front Fee for Study Abroad

CMS7 — Sun, 31 Jan 2021 20:40:22 GMT

My daughter had to pay a deposit for her study abroad. I want to enter it as a college expense, because we withdrew money from her Section 529 to pay it. Where should I enter that in the Turbotax interview page? None of the categories seem to fit.

Re: Up-Front Fee for Study Abroad

KathrynG3 — Sun, 31 Jan 2021 21:16:15 GMT

Presuming you paid your daughter's university for her study abroad, it would be considered a qualified education expense, since it was necessary for her to participate in the program.

To enter your details from the Section 529 Plan distribution, enter 1099-Q in the search box and click the Jump to link.

For more details, see:

Guide to IRS Form 1099-Q: Payments from Qualified Education Programs

2020 IRS Publication 970: Eligible educational institution. An eligible educational institution is one whose primary function is the presentation of formal instruction and that normally maintains a regular faculty and curriculum and normally has a regularly enrolled body of students in attendance at the place where it regularly carries on its educational activities.

Re: Up-Front Fee for Study Abroad

CMS7 — Sun, 31 Jan 2021 22:18:18 GMT

Thanks. Your answer made sense and I appreciated the tip on using "jump to". It looks as though the education costs can't be entered from the 1098-Q spot, though. I believe I probably should just enter is "Other Books and Course-Related Materials" under Expenses and Scholarships. Does that make sense?

Re: Up-Front Fee for Study Abroad

KrisD15 — Sun, 31 Jan 2021 23:28:13 GMT

Yes, that makes sense.

You can enter the tuition, fees, and books relating to the study abroad, but don't include the cost of travel.