Thank you for the answer. Well thought out and explained. However, Having done this since 2015 exactly as you explained, we receive a letter each year from the IRS stating we did not report the earnings from the 1099-Q we received. Thus, each year we have to print our all the documents that state 'keep for your records" and mail it to the IRS. Somehow the IRS does not see the reporting of the 1099-Q and subsequent 1098-T showing a qualified withdrawal.
