Excess distribution from 529 for loan payment < $10,000 (which should be qualified)

[JonMLevine]

It's worse than that. I spent hours on the phone with Intuit support only for them to insist that the product was working as designed. 

[JonMLevine]

KrisD15, thanks for your reply. I tried this but I can't make it work as you describe. No matter what I do, the 1099-Q worksheets don't include the amounts I've paid toward loans, and I wind up with a taxable distribution that flows through to form 5329. The only way I can get the 1099-Q forms to treat the loans as a non-taxable distribution is to override the amounts on the forms, which I think voids the Turbotax guarantee.

KrisD15, can you post more detailed instructions? Or if you also can't get it to work correctly, could you report this to the Turbotax dev team as a bug? From reading others' posts, apparently this is the second year people aren't getting this to work right.

[baxterjames96]

Jon,

I will give this a try.  After you pull up your forms within TurboTax (link in the upper right corner of the software-note this is different than viewing the PDF document TurboTax creates) Down on page 3, line 2a of the 1099-Q worksheet, there is a row titled "qualified loan repayments" (I believe that is what it is called, working from memory at this point).  Right-click on the blank entry and select override.  You should now be able to enter the amount of your loan repayment.  Do this in both columns.

Hope this helps!