Your daughter is your dependent if she meets the IRS tests, including that you provided more than half of her support.
Since you file Head of Household and claim her as a dependent, you report the Form 1098-T on your return and determine eligibility for an education credit (such as the American Opportunity Tax Credit). Your daughter generally can't claim an education credit when she is claimed as a dependent.
Your daughter may still file her own return as a dependent (checking “someone else can claim me”) to report her wages and receive a refund of any withholding. She reports taxable scholarship income, if any, on her return. In some cases, unrestricted scholarships (such as Pell Grants) may be treated as taxable to allow the parent to claim an education credit. The tax software will walk through these options.
IRS Publication on Scholarships and Grants
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