I dont live with my parents and they dont claim me on their taxes. TT is making me put them down for unearned income tax bc im under 23. My parents dont want the money.

Forum|Forum|5 years ago
March 30, 2021
6 replies
57 views

I have talked with my parents about this and they do not want the money. I am a full-time college student and get FAFSA. Because I made over 2.2k TurboTax is making me put them down to claim the money. I do not live with them and they do not claim me for taxes, and I do not know what to do.

TurboTax Deluxe Online

SweetieJean

Alumni - Champ

The issue is whether you qualify to be claimed by them, not whether they actually choose to do so or not. See:

What is the 2020 Kiddie Tax? (intuit.com)

Effects on Kiddie Tax if my parents claim me this ... (intuit.com)

JoannaB2

Alumni - Intuit

Yes, kiddie tax or Form 8615 is filed for dependent child 18 and under 24 years old with unearned income over $2,200. The qualified dependent living away from home due to child's education is considered as living in the hosuehold and can be claimed on parent's return. The Form 8615 must be attached to 2020 1040 federal income tax return.

falyn-clementsAuthor

Level 2

@JoannaB2 I am still confused. I live with my grandparents full-time. My parents pay nothing for my housing, food, or any of that, my grandparents do it all. Should I then put my grandparents down as the Head of Household in the 8615 form? Or do I still have to put my parents down?

ColeenD3

Alumni - Intuit

Being a dependent and filing Form 8615 are two completely different things. Your grandparents may or may not claim you but you have to file Form 8615 with your parents' information. You need to get this from their tax return.

Your grandparents may claim you if you meet one of these categories.

Qualifying Child

Relationship — the taxpayer’s child or stepchild (whether by blood or adoption), foster child, sibling or step-sibling, or a descendant of one of these.

Residence — has the same principal residence as the taxpayer for more than half the tax year. Exceptions apply, in certain cases, for children of divorced or separated parents, kidnapped children, temporary absences, and for children who were born or died during the year.

Age — must be under the age of 19 at the end of the tax year, or under the age of 24 if a full-time student for at least five months of the year, or be permanently and totally disabled at any time during the year.

Support — did not provide more than one-half of his/her own support for the year.

Qualifying Relative

You can claim a child, relative, friend, fiancé (etc.) as a dependent on your 2020 taxes as long as they meet all of the following requirements :

You provided more than half of their financial support. More info
They made less than $4,300 in gross income during 2020 unless they are a qualifying child.
They live with you or they are related to you. (Your relative must live at your residence all year or be on the list of “relatives who do not live with you” in Publication 501.)
They are a U.S. citizen, resident alien, national, or a Canadian or Mexican resident.
They aren't (or won't be) claimed as a dependent by someone else.
They aren’t filing a joint return with their spouse.
You are not being claimed as a dependent on someone else's return.