529 plan vs Coverdell education saving account

[gogo]

My kid is going to apply Canada Universities next year He was born in Canada but having green card in USA and currently live in USA. we save some money in both 529 Plan and Coverdell education Saving account. I believed 529 plan - that parents should be the owner of the account, and coverdell education saving account, the kid should be the owner of the account.
1) what is the tax treatment between US and Canada if my kid use those money to pay his tuition fee in Canadian University ? if I am still in US when my kid go to Canada study. do I get tax on 529 distribution or coverdall education saving account distribution
2) Should I rollover coverdell education saving account to another new 529 plan which the owner if my kid
3) which one I should distribution first
4) what happen if I withdraw ( in USA ) 529 plan and coverdall, not for education purpose. ? I know I might need to pay penalty for 529 plan, but do I have to pay only for the " earning" part or whole distribution regardless if that principal ( after tax money) ? what about Coverdall ?

thank you

[Mark T Serbinski CA CPA]

First of all, you can roll amounts from a Coverdell plan to a 529 plan without tax effect.

Eligible educational institutions at which a designated beneficiary may incur qualified higher education expenses include any college, university, vocational school, or other post-secondary educational institution that is eligible to participate in a federal student aid program administered by the Department of Education, and this includes some foreign institutions.

Distributions from a Coverdell and 529 plan are taxable only to the extent of income earned, plus a 10% penalty, if not used for educational purposes. Tax is paid by the beneficiary. (See form 8606).