Seniors and students

It was a non qualified annuity, it is being held under the 5 year rule, I took a distribution ... claimed the accrued interest for that year.  I had to pay tax on the full amount in the USA (till all interest is taxed).  I just reported it on Schedule D.  A so called cross border tax fellow said I should be reporting the full amount.  Not sure if he meant to report the full amount on 1099R and make a deduction or what?  I decided to just ask you folks as I doubt you will post incorrect info so it could be trusted.