IRS Pub 970 states: Generally, distributions are tax free if they aren't more than the beneficiary's AQEE for the year. Don't report tax-free distributions (including qualifying rollovers) on your tax return.
Only input the 1099-Q if there was income left after all qualified expenses are subtracted. Either way, make a note of your calculations and tuck it in the tax folder in case the IRS asks.
If she lived in a dorm, those expenses may have been more than the 1099-Q.
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