Q. Whose return would that go on?
A. The taxable portion of the 529 distribution goes o the "recipient's" (whose name and SS# are on the 1099-Q) return. The LLC is claimed on her return, since she is not a dependent. There is no full time student requirement.
But if you only reduce her tuition for the 1099-Q, by only the amount of the R&B, then you still do not need to file the 1099-Q.
Q. How where would that go on her return?
A. Form 8863. Enter the 1098-T at "education expenses and scholarships"
