Another 1098 T

[Brian EA]

Student earned $3000 with $300 tax withheld. She is being claimed as a dependent on her mother's return. The 1099Q is issued in the student;s name with the student's SS #.
Should the 1099 Q be reported on the student's return or the parent's return.
The mom is claiming the education credit.

[KBTS]

If the distribution on the 1099Q was used to pay qualified expenses (which include room and board), then the amount is not taxable and it does not get reported anywhere. You need to coordinate this with the expenses being used for the education credit so you don't use the same expenses for both.

If the disbursement is not for qualified expenses, the tax on the earning part is reported on the child's return. See pub 970 for examples of the calculation.