Let me make sure I understand this.
If the distribution doesn’t exceed the amount of the student's qualifying expenses, then you don't have to report any of the distribution as income on your tax return. If the distribution exceeds these expenses, then you must report the earnings on the excess as "other income" on your tax return.
In my case, I withdrew into my account (not the student's account) the exactly amount of the education expenses (tuition, fees, room and boarding) as billed by the school and then paid the school the exact amount; dollar-to-dollar. I have the receipts and bank transactions showing this. In this case, I don't have to report anything from the 1099-Q and cannot deduct it, right?
However, I should still her 1098-T under "Educational Expenses"?
