Dependent Education expenses

Forum|Forum|5 years ago
March 23, 2021
8 replies
70 views

My daughter is a fulltime student. I claim her a dependent. I also entered her expenses on 1098T and income fro 1099Q's on my return. I have already filed

I'm doing her tax return. Am I correct in assuming I cannot enter the education info and expenses in her return?

She got COVID unemployment and is really being hit because my income is too high

Suggestions?

Best answer by NCperson

You should be able to enter information for your daughter on her return. Dependents are eligible for the third stimulus payment. For those who haven't filed yet, the IRS will provide a worksheet for paper filers and work with software industry to update current tax software to address concerns regarding issues like yours. If you do not see an update then you should wait and try again in a few days. TurboTax is developing the software required to process all of the new conditions.

Here is a TurboTax article about the American Rescue Plan.

@glake

to be clear on the response, you HAVE TO enter HER unemployment income on HER return. The desktop version has not yet been undated to reflect the $10,200 exclusion.

on her education expenses, there is no 'double dipping' permitted. you can NOT claim the same expenses on your return and then claim them again on her return.

and to clarify that 'dependents are eligible for the 3rd stimulus'. technically, the TAXPAYER is able to receive stimulus payments for their dependents for the 3rd stimulus. The dependent themselves are not eligible to receive any money.

there just seems to be a lot of questions in this thread and it may not be clear what response is going with which question.

KatValek

Level 3

The last stimulus bill passed a $10,200 unemployment tax break for those that drew unemployment which may affect her return. If you are using the desktop program instead of online, you may have to wait for the software update (currently planned for March 25th from what I heard).

~ Amy ~

glakeAuthor

Level 4

I haven't seen an update as of 5PM EDT.

Everything I've read refers to Single and Married people being able to exempt the first 10,200 (each) from unemployment compensation.

Nothing speaks to whether this is available as a dependent.

ReneeM7122

Level 9

Here is a TurboTax article about the American Rescue Plan.

@glake

DMarkM1

Alumni - Intuit

For the question on entering 1098T information for your daughter, yes, you do enter the information on her return as well. She will not get the education credits, but any qualifying education expenses can be entered to help reduce any excess scholarship income. Great observation from @KatValek on the new unemployment exclusion.

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