Thank you for the answer. Next question, same topic...can my daughter get a Fed return higher than the Fed taxes paid?
So, we don't claim her as a dependent (per your answer). She is doing her own return and checked that no one could claim her as a dependent. She goes to college half time and works part time. In round numbers...she made about $12,500 and paid $890 in fed taxes. She was getting almost all the fed tax back ($850)...but then, we added her college tuition payments ($3400)...and her return went up to $1200. NYS was similar...low return, then we added the college tuition payments and it went way up. Is this correct? So, Fed $890 W2 payments minus $850 return meant that she paid about $40 to Feds....but then the return went to $1200 (due to American Opportunity Credit)...can you get this much more return back like this?
