College student w/ education expenses Coverdell IRA but don't qualify for lifetine learning credit. TTax says I have the credit so I can't use free edition - why?

Just don't enter the 1099-Q or the 1098-T. 

The 1098-T is only an informational document. The numbers on it are not required to be entered onto your tax return. However receipt of a 1098-T frequently means you are either eligible for a tuition credit or deduction or possibly your student has taxable scholarship income.  That doesn't appear to be your case.

You can just not report the 1099-Q, at all, if your student-beneficiary has sufficient educational expenses, including room & board (even if he lives at home) to cover the distribution. When the box 1 amount on form 1099-Q is fully covered by expenses, TurboTax will enter nothing about the 1099-Q on the actual tax forms. 

On form 1099-Q, instructions to the recipient reads: "Nontaxable distributions from CESAs and QTPs are not required to be reported on your income tax return. You must determine the taxability of any distribution." 

If you entered education expenses of a Form 1099-Q, TurboTax has created a Form 8863 in your return and that form is not included in the Free Edition.  You are not required to take education credits, so you can delete the Form 8863 from your return and still use the Free Edition.  

However, if you have a 1099-Q, that would need to be deleted as well and you may be required to report it.   If the distribution doesn’t exceed the amount of the student's qualifying expenses, then you don't have to report any of the distribution as income on your tax return.   If the distribution exceeds these expenses, then you must report the earnings on the excess as "other income" on your tax return.   If you are required to report the 1099-Q, you can't use the Free Edition.  

So, you can delete the forms related to the education credit (if you don't have a 1099-Q you are required to report) and still use the Free Edition.   If you have already upgraded, you will need to use the Clear and Start Over feature to go back to Free.   Delete anything education related - Form 1099-T, 1099-Q (only if expenses were more than distribution), and Form 8863.