On whose return does 1099-Q for 529 disbursements go?

[rfosterii]

Adding a related question for anyone who can answer:

We have 2 kids in college, each kid has two types - the prepaid and the "savings account" type - and I am the owner of all (both kids are beneficiaries). One kid is 22 and attending a state university, received their own 1099 Q because it was part of the prepaid program. One kid attends an out-of-state university recognized by 529 as "in-state" by the Academic Common Market. Both are our dependents. When we go through the education section of Turbo Tax it requires us to select one or the other kid as a beneficiary, can't select both. The effect is that we are taxed on the total withdrawal for both kids from 529, but only receive credit on expenses for one kid. 

Figure there are other parents out there with more than 1 kid in college, and may have an solution. Does anyone know a workaround for this situation?

Thank you

[Hal_Al]

"One kid is 22 received their own 1099 Q". You do not enter that 1099-Q, on your return.  You do not say who's name the 2nd kid's 1099-Q is in.

For 529 and prepaid  plans, there is an “owner” (usually the parent), and a “beneficiary” (usually the student dependent). The "recipient" of the distribution can be either the owner or the beneficiary depending on who the money was sent to. When the money goes directly from the Qualified Tuition Plan (QTP) to the school, the student is the "recipient". The distribution will be reported on IRS form 1099-Q. 
The 1099-Q gets reported on the recipient's return.** The recipient's name & SS# will be on the 1099-Q.

**Alternatively; 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. You would still have to do the math to see if there were enough expenses left over for you to claim the tuition credit. Again, you cannot double dip!  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. But, it will prepare a 1099-Q worksheet for your records, in case of an IRS inquiry.

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."