Can you please clarify? Is Box 5 on your 1098-T more than Box 1? What did you include as expenses to make the 1000 taxable? I am assuming you are the beneficiary of a 529? Did you take out more from your 529 than your tuition? Did you receive any other financial assistance like a Pell grant or scholarship reported in Box 5?
Try going to edit by the student from the 1098T page and enter your non-qualified and qualified expenses. Including room and board. The software will tell you how much is taxable from your assistance that may need to be included in other income MISC INCOME.
Read this article about Pell grants and scholarships reported in Box 5 of your 1098-T even if it exceeds Box 1. If this is the case. Once you enter your non qualified and qualified expenses, if you need to report taxable income in your 1040 from education assistance like the Pell or Scholarships, this would need to be done under INCOME>MISC INCOME>OTHER INCOME NOT REPORTED ELSEWHERE> enter Pell/Scholarship and amount of taxable assistance. This is different than entering your 1099Q and calculating taxable income, which is done automatically from software. If you had other assistance like a Pell or Scholarship, read the above article and enter your non-qualified and qualified expenses to see your taxable amount that needs to be reported in MISC INCOME.
Also, after editing amounts in 1099Q, go to your 1098T to update and continue until your get to the page that says "Maximize my education deductions". This will change your amount due or refund, if applicable. Sometimes, depending on aid received it is a two step process.
@dsk1
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