why do you think you have to file a gift tax return since the 529 contribution was under the $15,000 annual exclusion - unless you made additional gifts to your niece in total exceeding $15K.
why do you think your 1099-R income is overstated by $10,000? a contribution to a 529 plan is not deductible for federal purposes. Some states do allow a deduction for contributions to its 529 plan
