I haven't actually claimed my daughter in several years. She started this program last May at the age of 25. Prior to that she was working and paying all her own expenses. The tuition for the program was sent from the 529 account directly to the school. She is in off-campus housing as the school doesn't offer any.
The $2000 withdrawal was made directly to me to cover a laptop and printer that I purchased for her. The rent for Sep-Dec was sent directly to the landlord ($1600). Apparently since it didn't go to the school or to her, they included it in my 1099-Q along with the $2000. All other withdrawals (around $10k) went directly to her so she could pay for groceries and utilites as well as rent for the months I didn't send it directly to the landlord. I am the owner of the 529 account and she is the beneficiary. Given all this, it doesn't seem like I would qualify to claim her as a dependent, unless all the money sent directly to her would count.
Bottom line, I entered everything into Turbo Tax; the 1099-Q information and the detail as to what the money went towards. Now I see that those figures only appear on supporting schedules and not on any forms that are actually filed. And there is zero impact on my taxable income. So I think I'm good! I'm just surprised that the IRS doesn't require you to report this information.
Thanks for everyone's help with this!
