Line for 1098-T shows ZERO after completing it

[rerrabolu]

I would like to understand the following:

• Enter relevant data into TT for 1098-T form in the section "Deductions & Credits"
• Upon completion TT shows ZERO amount

Is this inference by TT valid? Why would it show the amount as ZERO for 1098-T but report the full amount of Coverdell ESA distribution.

Could I request an explanation.

Regards,

Ramesh 

[AmyC]

The order in which you enter the forms affects the program calculation. The 1099-Q must be entered before the 1098-T, if it needs to be entered at all. In addition, the program may try to hold out money to qualify for education scholarships rather than allowing the 1099-Q.

Delegate 1099-Q expenses to room and board, then education expenses. If all of the money was spent on qualified expenses, don't enter the 1099-Q.

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