Does my gi bill benefits count as earned income?

[NicoleU]

The benefits can add up to thousands of dollars, but they're not taxable, and you do not have to report them as income on your individual income tax return (Form 1040).

For more information, please click this link:https://turbotax.intuit.com/tax-tools/tax-tips/Tax-Deductions-and-Credits/Are-GI-Benefits-Considered...

[helpingmetaxes]

I'm a 23 year old college student and my parents aren't claiming me on their return.  I live in an apartment on my own and between my summer job earnings and the GI Bill I provide all my support.  How should I answer your tax software question asking if my earned income provides over half my support?    Thank you.

[DianeW777]

Answer yes.  Your earned income along with the GI Bill benefits support you and you are receiving no support from another person. 

If your income is low enough you may qualify for the earned income tax credit (EITC) because you are self supporting.  You must have earned income to be eligible and your summer job would qualify.  More information is available at this link:

• Earned Income Credit
• IRS Publication 596

[helpingmetaxes]

Thank you. I am a 22 year old full time student and I lived the entire year of 2021 in an apartment in another city ~120 miles from my parents.  Also, my parents provided less than half my support in 2021.  My parents aren't claiming me as a dependent on their return.  Most of my support comes from the GI Bill, with the rest of my support coming from the $7200 I made over the summer.  My main 2 questions from the tax software interview are:  I can't be claimed as a dependent?  The other:  Is your earned income less than half the support you received?  Technically my earned income of $7200 was less than half because the GI Bill provided most of my support.  I assume since the GI Bill isn't taxable that I still answer the question "no."  

[DaveF1006]

Yes, that is correct. Your GI Bill is not taxable.

[helpingmetaxes]

Thank you.  So I can say "no" to being claimed as a dependent and "no" to my earned income being less than half my support?  

[DMarkM1]

Yes, you can say "No" to being a dependent and "No" your income is not less than 1/2 your support.