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Is my non-dependent child elligible for the American Opportunity Credit if i paid her tuition from a 529 plan?
In 2018, year my daughter no longer qualifies as my dependent. However, i paid her tuition from a 529 plan in my name (i receive the 1099Q - she is the beneficial owner). She, however, receives the 1098T. I enter the 1098T and 1099Q info on my return since not all of the 529 funds were spent 100% on education, so the non-educational amounts are taxed as income to me. However, when working on her return, she enters the 1098T info & since she is no longer a dependent, TurboTax determines she is elligible for the American Opportunity Credit. Is she eligible for the American opportunity credit even though i paid the tuition? (i later withdrew funds from the 529 to cover the payment). Or is it a mistake to enter the same 1098T info on both returns? Also, we've never claimed the credit before as she was a dependent..