Where do I enter contributions to a 529 plan?

[ycktubotax]

My wife and I also made contribution to our grandson's MA 529 Plan.  In preparation of filing 2019 tax, I checked 2018 MA Tax form.  The instruction for Line 18 of Form Y, Other Deductions, states that "A deduction is available for purchases of or contributions made to an account in a pre-paid tuition program or a college savings program established by the Commonwealth. The deduction is capped at $1,000 for a single person, married filing separate, or head of household and $2,000 for a married couple filing a joint return."  Yet, my 2018 MA tax shows no deductions for our contribution.  I have to pay closer attention to this when I file for 2019.  I have to also investigate whether there is any way to claim the deduction retroactively.  If TurboTax did not prmpt me for this deduction in 2018, I hope TuboTax fixed this problem.

[richolin2]

I found this in VA760 instructions:

Deductions from Income
Lines 8a - 8c. Deductions On Lines 8a-8c, enter the 3-digit
code, listed in the following table, in the boxes on Schedule
ADJ, followed by the amount, for any deductions from Virginia
adjusted gross income in the categories listed below.
Do not fill in the loss box unless you are claiming a bank
franchise deduction (Code 112) or a business interest
deduction recovery (Code 117). See the instructions at
the end of this section.
Other Deductions for Lines 8a - 8c
If you have more than 3 deductions on Lines 8a-8c of
Schedule ADJ, use the supplemental Schedule ADJS
to provide the code and amount for each deduction in
excess of 3. Enter the total of all deductions on Line
9 of Schedule ADJ and fill in the oval at the bottom of
the form. Be sure to enclose Schedule ADJS with your
return

104 Virginia529 Account Contributions - If you are under
age 70 on or before December 31 of the taxable year,
enter the lesser of $4,000 or the amount contributed
during the taxable year to each Virginia529 account
(Virginia 529 prePAID, Virginia 529 inVEST, College
America, CollegeWealth). If you contributed more
than $4,000 per account during the taxable year, you
may carry forward any undeducted amounts until the
contribution has been fully deducted. However, if you are
age 70 or older on or before December 31 of the taxable
year, you may deduct the entire amount contributed
during the taxable year. Only the owner of record for an
account may claim a deduction for contributions made.

[DMarkM1]

Good information.  

[ycktubotax]

I missed credit for contributing to my grandson's 529 plan in the past on my MA tax returns so I was paying closer attention this year.  On first pass, I skipped Education Expenses section under Adjustments because I personally did't have any such expenses.  When I couldn't find credit for 529 plan, I reviewed all the sections more carefully.  It turned out, on the Education Expenses menu page, there was a selection for College Savings Plan.  When I checked that box, I was able to enter my contribution to the 529 Plan. 

Another reason I missed in the previous years was that I had assumed that when I imported forms from my brokerage firm, Turbo Tax would automatically populate 529 Plan contributions.  But unfortunately, the imported data did not include that contribution.

So bottom line is, pay close attention to every line of Turbo Tax menu pages and review the returns carefully before filing.  Turbo Tax could improve the form by making 529 Plan stand out.

Hope this helps

[scartwright]

Perhaps TurboTax has recently updated the program, but I was able to enter contributions to Indiana 529 plan today 3/27/2020 by opening the State Tab, and at the INDIANA CREDITS AND TAXES page, choosing the 529 plan under EDUCATION.

[dcpattie]

This has costed me big time in the past. Shame on Turbo tax. They should easily take your contributions and distribute them over the out years. Virginia allows $4,000 per year with no end date.

[Anne K1]

After you've completed your federal return and proceed to your state return, under INCOME screen will be a line for college contributions.  Here is where you put the amount you paid into any 529 accounts.

[ft88]

In PA and there is simply no place to input a contribution.  Income, Credit, all checked.  1099-Q doesn't apply as I didn't get a distribution.  

[lishutterbug]

For some reason, in turbotax 2020, the 529 deduction is in under:

"changes to FEDERAL income" section in "adjustments to federal income"    on the state forms page.

[DaveF1006]

To best answer your question, please review this TurboTax link posted by one of our champions. In the link, DJS states "Your contribution isn’t tax-deductible on your federal return, but two-thirds of the states do offer an income-tax deduction for contributions. Most require that you contribute to your own state’s plan to get the break (Arizona, Kansas, Maine, Missouri and Pennsylvania allow deductions for contributions to any state’s plan). But each state also has different rules about who can take the deduction for their contributions."

Please look at this Vanguard  link to view your state to see how it treats 529 contributions as taxable deductions.

[lishutterbug]

I don't know how it is for other state, but for New York, that link you posted has the wrong information.  

It says:

If your state is one of those states that has a 529 plan deduction, TurboTax will prompt you to enter your 529 contributions when you get to the credits/deductions portion of your state tax interview.

In Turbotax 2020, For New york state tax, you have the following sections/portions:

==================

General Information

New York City and Yonkers Information

Changes to Federal Income

College Tuition Expenses

Credits and Other Taxes

Other Forms and Voluntary Contributions

Your New York Numbers

Recent Events

===================

The New york 529 information is NOT in the 'Credits and other Taxes' section.

It is in the 'Changes to Federal Income' section.  

[OldTechie]

Why not answer the question which was about how/where to enter the info -- it is not at all clear and the state interview did not find it.

[lishutterbug]

It's not in the interview. 

After you complete your state form (without the 529),

go back and edit it.

On the state screen, you can select "changes to FEDERAL income" , and then "adjustments to federal income"    

and then the 529 option on the next screen.

[slinnebur]

Colorado allows it, but I wasn't prompted to enter my contributions either. Uggh.  How do I enter them?

[MarilynG1]

@slinnebur Click this link for more info on entering Colorado 529 Contributions.