Thanks, Maxine

That was the answer I was looking for. I had put the distribution on the state as an addition, but wasn't sure. I think maximizing the AOC is worth the cost of paying a little extra tax on the distribution earnings on the Fed and the total distrib on the state. For the student in my case, her income is so low, very little if any was taxable.

I was also confused about where to enter the info about eliminating the 10% penalty, but it looks to me like that is input on the 5329 smart box, ie amounts used for credits etc.

Thanks!