@olive63 wrote:
if my kids earned more then $5000, can i have them as my dependent?
You need to review all the rules here.
https://www.irs.gov/publications/p501
There are 2 types of dependent, "qualifying child" and "qualifying relative." Income over $4300 will disqualify a child from being a "qualifying relative" dependent, but will not automatically disqualify them from being a "qualifying child" dependent.
To be a qualifying child dependent, your child must:
- Be under age 19, or be a full time student under age 24
- Live with their parents more than half the nights of the year
- Not pay more than half their own living expenses
- Not file a joint return with a spouse
So there is no specific dollar limit, as long as the child meets the age and residency test, and does not pay more than half their own expense. A child can also be a qualifying child dependent of certain other relatives, but you said "my kids" so I'm going to skip that part of the discussion.
Note that the child will report their own income on their own tax return, even if they can be claimed as a dependent.
To be claimed as your "qualifying relative" dependent, your child,
- can't be a qualifying child dependent of someone
- you paid more than half their support
- their taxable income was less than $4300.
A qualifying relative dependent can be any age, and if they are your child, they don't have to live with you as long as you pay more than half their expenses.
