First of all, the Box 5 reporting Grants/Scholarships on the 1098-T contains no info about your 529 withdrawals.
If Box 1 is larger than Box 5, you qualify for an Education Credit.
You don't need to enter the 1099-Q on your return. Your daughter will enter it on her return (if she is required to file a return) and be taxed on any excess distribution.
If she is not required to file a return, then it doesn't get reported anywhere; just keep it for your records.
As long as 1099-Q funds were used for Qualified Education Expenses, it is not taxable.
Click this link for more detailed info on the 1099-Q.
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