Grandparent opened a 529 for a granddaughter. This year granddaughter has received a 1098-T (started college). Granddaughter is claimed by parents. The 1099-Q form for the distributions was issued in the grandparent's name and social security number. I do the grandparent's tax return but not the parents.

Is there anything I have to report on grandparent's tax return regarding the distribution made in her social security number to show it is non-taxable to grandparent?

And do I tell her to send a copy of the 1099-Q to the parents because they must show that State plan payout against educational expenses on their returns?