Yes. You are correct.
On form 1099-Q, instructions to the recipient read: "Nontaxable distributions from CESAs and QTPs are not required to be reported on your income tax return. You must determine the taxability of any distribution.
If your daughter's qualified education expenses including room and board cover the distribution from the 529 plan, you do not need to enter the form 1099-Q on your tax return.
You just keep a copy of form 1099-Q and proof of education expenses including room and board in your tax records in case of an IRS inquiry or audit.
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