jay4
New Member

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..