Thanks very much for your response. I'm still mulling it over, but so far, seems to me the situation is more straightforward: part of her tuition was paid for by the scholarship, the rest by 529 funds paid directly from the fund to the school on her behalf (she being the recipient ). She's filling her own tax return. I assume TT is unaware that the remaining funds in box 1 of the 1098T form was paid using non-529 funds, and is assigning her an AOC. Sounds like she's not entitled to that credit (correct?), in which case where/how do I adjust TT to ensure she doesn't get a credit she's not entitled to? And does she need to file a 1099Q?
Thanks!
