Point Cloud Quality Assessment (PCQA) methods typically predict scalar Mean Opinion Scores (MOS), which quantify overall perceptual degradation but do not reveal its causes. In contrast, human observers naturally reason in terms of specific distortions such as blur, color shifts, point density changes, missing regions, and geometric deformations. To close this gap, we introduce DAL-PCQA, a distortion-aware, language-annotated dataset for PCQA. DAL-PCQA augments benchmark point clouds with multi-level distortion severity labels, discrete quality categories, and structured natural language descriptions aligned with human perception. We define a point-cloud-specific distortion taxonomy that covers both photometric and geometric artifacts. Statistical analysis reveals characteristic degradation patterns across distortion types and quality levels. To assess the utility of these annotations, we compare zero-shot and fine-tuned multimodal models for generating perceptual quality descriptions. Experiments show that distortion-aware supervision substantially improves lexical and semantic alignment with ground-truth descriptions. By enabling interpretable, distortion-level reasoning, DAL-PCQA facilitates language-driven, explainable point cloud quality assessment. The dataset is publicly available at https://github.com/swarna96/DAL-PCQA.