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Originally Posted by waynekim I have 529 account for my son and did take distribution in 2013 for $23,000.00 but I did refunded back to 529 plan because my son did receive scholarship from Navy. School did not issue 1098-t but received 1099-q from 529 plan. I did write a check for full amount and send it to the 529 PLAN. 529 plan told me that they will issue 1099-q if the fund was not returned by 60days. How do I file this information so I am not responsible for the distribution. I refunded. How to zero it out on my tax form.
Thank you |
If the 529 withdrawal was within the last 60 days you can roll over to another 529 plan with yourchild as beneficiary. Indicate to the receiving plan that it is a rollover and provide basis and earnings breakout. If not within last 60 days, minimize the tax damage by identifying any tax-free scholarships or grants your son may have receiving that qualify for a waiver of the 10% tax penalty.