A tax consultant said we can claim our daughter as a dependent & file her W-2 on our return. In 2021 she was a full time student. How & where can we file her W-2?

In 2021 she was 18 or older.  Her name will not appear on the drop down menu in the W-2 section.  How would we get her name to appear or if that's not possible, where else can we file her W-2?  Thanks.
rjs
Level 15
Level 15

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You need a new tax consultant (or maybe you misunderstood what the consultant said). You cannot report your daughter's W-2 income on your tax return. She has to file her own tax return and include her W-2 on it.


Whether you can claim her as a dependent is a separate question. If you can, make sure that on her tax return she indicates that she can be claimed as a dependent.

 

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You don't include their income on your return. It would only go on their return if they are required to file one.  To file a separate return for your dependent you need to set up a new account.  Online is only good for one return per account.  You can use the same email address for 5 accounts.

 

How to start a new online return

Https://ttlc.intuit.com/questions/1894512-how-do-i-start-another-return-in-turbotax-online 

 

Be sure on their return they check the box that says they can be claimed on someone else’s return.  If their only income is W2 and under 12,550 they do not have to file a return except to get back any withholding taken out.

 

Filing requirements for a dependent

https://ttlc.intuit.com/community/children-dependents/help/do-i-need-to-file-my-own-taxes-if-i-m-a-d...

 

And see IRS Publication 501

https://www.irs.gov/pub/irs-pdf/p501.pdf

Hal_Al
Level 15

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You do not report his/her income on your return. If it has to be reported, at all, it goes on his own return. If your dependent child is under age 19 (or under 24 if a full time student), he or she must file a tax return for 2021 if he had any of the following:

  1.          Total income (wages, salaries, taxable scholarship etc.) of more than $12,550 (2021).
  2.          Unearned income (interest, dividends, capital gains, unemployment, taxable portion of 529 distribution) of more than $1100.
  3.          Unearned income over $350 and gross income of more than $1100
  4.          Household employee income (e.g. baby sitting, lawn mowing) over $2300 ($12,550 if under age 18)
  5.          Other self employment income over $432, including money on a form 1099-NEC

 

Even if he had less, he is allowed to file if he needs to get back income tax withholding. He cannot get back social security or Medicare tax withholding.

In TurboTax, he indicates that somebody else can claim him as a dependent, at the personal information section.

 

If his only income is from interest and dividends, Alaska PFD or capital gains distributions shown on a 1099-DIV, there is a provision for entering it on your return, using form 8814.  But, if your dependent has W-2 income, you do not enter any of their income on your return. 

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Income earned from working can never be reported on someone else’s tax return and must always be reported on a tax return filed in the wage earner‘s own name.  Sometimes, if a child dependent‘s only income is from investments, it may be reported on a parent‘s tax return.