Hello,
My son who in college, worked in summer 2024 and earned $1606 from summer work. His tuition is paid by combination of 529, scholarship, student loan and from out of pocket (which i paid). The total tuition is much more than total of 529 reimbursement. We are plan to claim him as dependent under our tax filing but due to our own income we are not eligible of AOTC or other education credits. Also, I am mostly sure, he is not eligible for AOTC or other education tax credit if he file return as he is 20 yr old, and pay half of own expenses by himself. All education tax forms, 1098-T (for tuition), 529 payment, student loan interest (even no interest paid) came on his name. From his W2 he worked in summer, no federal tax was deducted and tax for IL State tax was deducted.
So my questions are:
1. Do he need to file federal tax return?
2. As all 1098-T and 529 tax forms came on his name and tuition (and other eligible expenses) is much more than 529 reimbursement, do we need to show that in our tax filing?
3. As from W2, some of the IL State was deducted and based on his income, he may not need to pay IL Tax, he may get that as refund, can he file just IL State return without filing Federal return (guessing he not need to file federal return)? He will be claim on our State return too.
Thanks
