1099q

[tax1111]

TP has 2 college student children and each has qualified education expenses for 2022.
TP only received one 1099Q with one of the student as receipiant on the form.
When calculating the taxable portion of the 1099q distribution, should I use the total of the two students' qualified education expenses amount or just that of the student who is the recipient of the 1099q?
On the 1099Q recipient section, it shows sth like this
FBO “student name” SME
“Parent name” PART
Address

[jklcpa]

The ones I've seen have always been in the student's name and the student's SSN.  Those are reported on the child's tax return, and any education expenses used to reduce the taxable portion of the distribution on the child's return are not allowed as education expenses for purposes of the AOC or LLC.

It's best to run both scenarios - if it is better to allow the expenses to reduce the portion of 1099Q distribution that may be taxable to the child or to allow the parents to claim the education credit.  In my clients' cases, the parents income was so high that they couldn't claim any education credits anyway, so those definitely were used against the 1099Q income.

[tax1111]

Thanks for the help!

The 1099Q is in parent's ssn and they have high income and can not take any education credits. So, the best bet is to use the education expenses against 1099q distribution. 

Although the 1099q is issued to parents, it is FBO one child. The parents have two college kids and both have qualified education expenses. When I calculate the 1099Q taxable distribution, can I include the qualified education expenses of another child against 1099q amount? Or only the education expense of the child who is listed on the 1099Q?

Thanks!