I am an account owner on path2college529.com. I am the parent of 2 kids that go to college now. I contributed my money to these accounts over last 20 years and now I intend to use this money for kids college expenses and to use the state tax benefits on my tax return {not to get taxed on distribution/earnings}.
I did not realized that but when I made distributions in 2023, I once chose myself as a recipient once, and my daughter as a recipient the second time.
What is the right way to do it?
I received one 1099-Q with me as a recipient, with box 6 flagged, as "recipient is not the designated beneficiary", and the second with my daughter's name as a recipient.
I see there are 2 main questions when doing the distribution:
1. Will these funds be used for "daughter's name" qualified expenses? I answered "yes"
2. To whom should we send funds? Here is (i believe) where the discrepancy occurred.
Should it be me or my daughter?
Can I fix last year's 1099-Q?
Thanks!
