Yes, you still claim her. At 17, she is too old for the Child tax credit but not the earned Income credit. You also get her exemption ($4000 deduction).
A child of a taxpayer can still be a “Qualifying Child” (QC) dependent, regardless of his/her income, if:
1. He is under age 19, or under 24
if a full time student for at least 5 months of the year, or is totally &
permanently disabled
2. He did not provide more than 1/2 his own support
3. He lived with the parent
(including temporary absences such as away at school) for more than half
the year
Furthermore, there is a rule that says IF somebody else CAN claim him as a
dependent, he is not allowed to claim his own exemption. If he has sufficient
income (usually more than $6300), he can & should still file taxes; he just
doesn’t get his own $4000 exemption (deduction). In TurboTax, he indicates that
somebody else can claim him as a dependent, at the personal information
section. Even if he had less, he is allowed to file if
he needs to get back income tax withholding. He cannot get back social security
or Medicare tax withholding.
