We received a 1098-T in my daughter's name for her final graduate semester. I've always entered this amount on our taxes as she was a dependent. For 2020 that is no longer the case. Not sure what the legal requirements are and/or if we have flexibility as to who claims it. Not a huge amount of money but want to do things correctly.
You'll need to sign in or create an account to connect with an expert.
If your daughter is longer your dependent (for example because she is 24 or older), she only can claim her education expenses on her form 1098-T.
Thanks much
Why is she nolonger a depedent?
Be advised that grad students are not eligible for the refundable credit (American Opportunity Credit). So, she would have to have had enough income to have a tax liability for the Lifetime Laerning credit to do her any good.
"Why is she nolonger a depedent?" She turned 24 in 2020. Thanks for the credit info.
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 and student status test, a relationship test and a residence test. Only a QC qualifies a taxpayer for the Earned Income Credit and the Child Tax Credit. Turning 24 only means she can no longer be a QC.
A person can still be a Qualifying relative dependent, if not a Qualifying Child, if he meets the 6 tests for claiming a dependent:
In either case:
Thanks Hal_Al
Looks like she fails number 2 - His/her gross taxable income for the year must be less than $4300 (2020). Appreciate all the info.
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
xxrubyxxmacxx
New Member
Linhall
New Member
iaing
New Member
dthrower15
New Member
princessidgaf
New Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.