Emphasizing what KrisD15 said, you should not claim any of her tuition on your tax return. Instead, you should claim that the 529 distribution was used for room and board. This allows her to claim the tuition for the education credit.
If she lived off campus, the amount of "room and board" allowed against the 1099-Q (529 distribution) is limited to her actual expenses or the school's "allowance for attendance" (essentially what the school charges on campus students), whichever is less.
