I'm a parent of a 19-year-old full-time college student. He is a dependent child who lives with us for 12 months per year. My question is regarding to who is filling for his taxes for 2022: him, his parents or both.
1) We cannot file Form 8814 for him. He has both unearned and earned incomes. He made less than $1150 in unearned income, and below $12,950 in earned income, but has some money withheld on W-2.
2) He has received more scholarship/grant money than tuition and other educational expenses (books, etc.) combined. He did withdraw money from his 529 plan to pay for tuition, and then received refund checks from the school later. All the money he received from the scholarship and grant went to his 529 investment.
My questions are:
a) Is my son responsible to report all the incomes (dividends, part-time jobs, scholarships) together to IRS? If so, are we supposed to remove him as a dependent child (assuming his income will remain the same or increase)? Or, do we, the parents, report his scholarship income as our own while our son reports dividends and part-time job incomes?
b) Once removed, can we re-claim him as a dependent child, if circumstances change, such as no scholarships, no part-time jobs, etc.?
