No...it is not considered income...it is considered a "potential" 2022 Federal income deduction...but like I said, it's unlikely it will be used that way at all since, as a dependent, he is unlikely to be using itemized deductions on his Federal tax return.....so the $$ will "(likely) just sit there in that field and not be used for anything.
Hmmm might be used in state taxes for determining if an underpayment penalty applies, if He owes too much to the state this year on his 2022 state file...but states vary wildly on how that might be considered.
____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
