Does anyone know where to enter student loan amounts paid using distributions from 529 plans? Starting in 2019 this is now allowed up to certain limitations. There is a checkbox on the Student Information Worksheet asking if any distributions were used for loan payments, but I have been unable to determine where to enter the amount of the distribution used to pay loans so the distribution is excluded from taxable income.
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I have not had someone do it yet but look at the Student Information Worksheet Part I Line 4a
Let us know if that is the correct box to check
Thanks, but that checkbox does not seem to do anything to trigger an entry point for an amount. After Box 4a on the Student Information Worksheet is checked, there does not appear to be a line in Section VI of that worksheet (or anywhere else that I can find) to enter student loan payments to offset the 529 plan distribution.
Wouldn't you just enter it in Part VIII of the student info worksheet to make it non taxable?
I suppose you could do that, but since the totals from Part VI and other areas of the worksheet flow to Part VIII, I was looking for a specific entry point. I thought that would be important especially since there is the $10K limit for 529 distributions used to pay loans. Appreciate the thoughts.
On the student info worksheet, part l, line 4a check yes, then go to part Vlll, line 20 put in the amount of the distribution from 1099Q that was used for student loans
Thanks for the assistance. I appreciate the help.
Thanks Lisa, it is line 2d in part Vlll
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