I have been reading conflicting information on this topic. I am claimed as a dependent on my mother's tax return. During the year, I received a commission for serving as a non-professional executor to an estate. My question is: Does this fee/commission count as earned income?
Because I am claimed as a dependent, my standard deduction will be based off my "earned income." This is my only income this year, so if it is counted as earned income I will receive a substantial tax break as it will increase my standard deduction. If it is not earned income, I will have to pay higher taxes.
Some previous posts on here indicate that it is not earned income. Some websites indicate that it is earned income (ex. http://www.eldercarelawyer.com/articles/estates/compsensation-for-executor.html - Second to last paragraph/ https://www.avvo.com/legal-answers/are-fees-paid-by-an-estate-to-an-executor-subject--210763.html - answer 1).
No 1099's were issued.
