Can someone please provide clarifications based on what is stated below:
The way this question was answered on February 10, 2021 12:43 PM , I would have taken it to mean the dependent's income should always be entered. I think the answer to the turbotax question "What's your child's modified adjusted gross income (MAGI)? should be zero if the dependent is not required to file a tax return. Please Clarify.
According to Instructions for Form 8962 Premium Tax Credit Line 2B
Line 2b
Enter on line 2b the combined modified AGI for your dependents who are required to file an income tax return because their income meets the income tax return filing threshold. Use Worksheet 1-2 to figure these dependents’ combined modified AGI. Do not include the modified AGI of dependents who are filing a tax return only to claim a refund of tax withheld or estimated tax.
If you click on the Turbotax link "learn more"
I have at least one dependent on my taxes who's filing a separate return. Learn more |
The Turbotax Help window agrees with this and says:
"If you have a dependent who’s required to file a separate tax return, you’ll need to include their income in your modified adjusted gross income (MAGI). Your MAGI is the household income amount that’s used to calculate the premium tax credit you qualify for."
Anybody who did not click on the LEARN MORE link would miss this!
My understanding is that if your dependent is only filing a tax return to claim a refund, then Form 8962 Line 2B should be zero.
