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Attributing campus housing payment made for fall of next year to 1099-Q

My daughter will be starting full-time college in fall of 2020 but made her first payment on her dorm in 2019.  We withdrew funds from her 529 plan to pay for this and received our first 1099-Q.  I was able to enter the 1099-Q info ok but can't figure out how to attribute the distribution to a qualified expense (which I believe this should be - right?).  The dialogs all seemed to be geared for the case where she is already in school there.  How do I enter this properly and should it be on her tax return where I entered the 1099-Q info or on ours since she is our dependent (saw something in help about this but was confusing)?

 

Thanks!

-T

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1 Reply
DaveF1006
Expert Alumni

Attributing campus housing payment made for fall of next year to 1099-Q

Unfortunately, when you receive these distributions, you need to reduce the amount of the distributions by educational expenses such as Room and Board that incurred while your daughter is a student at the school. If your daughter hasn't yet attended school, you will get taxed for the taxable earnings that were accrued in the account but not for the contributions that you have put into the plan.

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