@jyeh74 said "But when the elderly couple is claimed as a qualifying dependent, then that social security income does NOT count as income and is subject to income of $4,700 or under per person rule".
No. That's a misinterpretation, probably brought on by the oversimplification statement "social security doesn't count for the income test". Only the non taxable portion of SS doesn't count for the $4700 income test. If a couple meets the $32000 rule, then you have to look at the calculation of the taxable portion for the dependent income test.
The oversimplification probably comes from the fact that people with taxable SS aren't usually being considered for dependency.
