1) As you have no educational expenses in 2023 to justify the distribution from your 529 plan, you will have to pay tax (and a 10% penalty) on the earnings reported on the 2023 form 1099-Q. For 2022, you can use education expenses reported on her 1098-T to claim her education credits (AOTC or Lifetime learning credit).
2) For your HSA, the reimbursement for medical expenses incurred can take place in 2023. When you receive your 2023 form 1099-SA, you can say that the amount distributed was for medical expenses incurred.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
