I would probably amend.
Although she won't owe any taxes because of it, because she did file a tax return the IRS may be 'looking' for it reported somewhere. If they don't see it, she could receive an IRS notice asking about it.
The alternative is to not do anything, and if/when the IRS notice comes, amend in reply to the IRS notice.
For purposes of FAFSA (Federal Student Aid), you may legally need to amend because FAFSA looks at her tax return. If it is wrong, she could technically be participating in fraudulent activity for purposes of increasing her Student Aid.
