dascpa
Level 12
04-04-2023
05:03 PM
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We cannot answer your specific question without being in front of your computer.
Remember, you cannot double-dip so if you're claiming a AOTC or Lifetime Learning Credit you cannot use those same funds to get out of tax-free earnings on the 529. You may find that you got an AOTC but then had to pay tax on the some of the 529 earnings.
Many times ProSeries enters a $10,000 on Part VI, line 17 of the Student Information Worksheet. If it does override it to the proper number.
This is also the worksheet you need to pay attention to. Look at the various columns; AOTC, LLC, 529, ESA, etc. Make sure these are correct before doing the optimizer.