Hello,
We have been including our son as a dependent. He is in college out of state. He was 18 last year, and earned some income, approx. $1,900 tutoring high school students.
Should we continue to show him as a dependent?
Should we file with his income on our return, or should he file his own taxes? Please advise.
You can claim your son as a dependent if he did not provide for more than half of his own support, which is the case as he earned only $1,900.
You do not report his income on your return.
If he was an independent tutor (not an employee), he is required to file a tax return. He will to pay self-employment tax. He must indicate on his return that he can be claimed as a dependent by someone else.
You can claim your son as a dependent if he did not provide for more than half of his own support, which is the case as he earned only $1,900.
You do not report his income on your return.
If he was an independent tutor (not an employee), he is required to file a tax return. He will to pay self-employment tax. He must indicate on his return that he can be claimed as a dependent by someone else.
his income goes on his tax return; your income goes on your tax return. Never the 'twain shall meet.
Since he is in college, it is to your advantage to claim him as a dependent. Follow the questions in TT as it will confirm that you can. Basically, as long as he is under 24 and a full time student and you provide over 50% of his support, you can continue to claim him.
The 1098T form creates the tax credits that you can take advantage of (your child cannot). As long as box 1 exceeds Box 5, the form goes on your tax return and your son doesn't have enough income to need to file a tax return (assuming there are no withholdings).
If Box 5 exceeds Box 1, then that is income to your son. But basically as long as that net number and the $1300 of income you mentioned is below $12,200 he has no need to file
Thank you. He got a 1099, so he is self-employed, correct?