American opportunity credit

[mrsbuzz]

My son did not work this summer, so will not have a W2 to file any earned income tax.  Is he still able to file for this credit? I make too much money to gain from it.  Thank you!

[SweetieJean]

Is he your tax dependent?

[mrsbuzz]

He wasn't last yr because he made just above the income limit. This year, no income. Thanks.

[SweetieJean]

Was he under age 24 last year?

[mrsbuzz]

He is 23 years old.  Full time student.

[SweetieJean]

Then likely he could not claim it for 2015 either. See answer below.

[SweetieJean]

You (and he) will have to file 2015 amended returns.

[Hal_Al]

You say he wasn't your dependent last year "because he made just above the income limit". There is no income limit, for a qualifying child dependent.
There are two types of dependents, "Qualifying Children"(QC) and standard ("Qualifying Relative" in IRS parlance even though they don't have to actually be related). There is no income limit for a QC but there is an age limit, a relationship test and a residence test.

A child of a taxpayer can still be a “Qualifying Child” (QC) dependent, regardless of his/her income, if:
1. He is under age 19, or under 24 if a full time student for at least 5 months of the year, or is totally & permanently disabled
2. He did not provide more than 1/2 his own support. Scholarships are considered third party support and not as support provided by the student.
3. He lived with the parent (including temporary absences such as away at school) for more than half the year
 
So, it doesn't matter how much he earned. What matters is how much he spent on support. Money he put into savings does not count as support he spent on him self.
The support value of the home you provided is the fair market rental value of the home plus utilities & other expenses divided by the number of occupants.
 
Furthermore, there is a rule that says IF somebody else CAN claim him as a dependent, he is not allowed to claim his own exemption. If he has sufficient income (usually more than $6300), he can & should still file taxes; he just doesn’t get his own $4050 exemption (deduction). In TurboTax, he indicates that somebody else can claim him as a dependent, at the personal information section.

[SweetieJean]

@Hal_Al  You beat me to it!

[mrsbuzz]

I was just thinking about 2017 return.  I am more confused than ever now.  I will continue to search. Thanks.

[mrsbuzz]

No one mentioned if there is an income limit for me to claim him. I will look into that right now, too.

[mrsbuzz]

We file jointly and are way below the joint file income limit amount I see on IRS site.

[SweetieJean]

To be a dependent, HIS (the student's) does not matter if he is under age 24, as long as he does not provide more than 50% of HIS OWN support. Will he still eb age 23 on 12/31/2017?

[mrsbuzz]

Yes.  He will not be 24 until next June 2018.

[SweetieJean]

and if he CAN be your dependent under the IRS rules, he cannot "claim himself."