I have two children. One was born in January and the other is 17-years old. As it stands, I believe neither will receive a $500 stimulus payment.
1. My 17-year-old son earned a few hundred dollars last year. Would it make sense for me to amend my tax filing to not claim him as a dependent, have him file his own tax return, and him get the full adult $1700?
2. Is there any provision made for the newborn (I heard if she is on next years' tax filing I would receive the payment with that return?)
You are correct, neither will qualify for the 2020 $500 child stimulus.
Q. 1. My 17-year-old son earned a few hundred dollars last year. Would it make sense for me to amend my tax filing to not claim him as a dependent, have him file his own tax return, and him get the full adult $1200?
A. 1. No. That is not allowed. If he qualifies as your dependent, he can not file independent. It's not optional.
Q. 2. Is there any provision made for the newborn (I heard if she is on next years' tax filing I would receive the payment with that return?)
A. 2. 2020 rules are not clear yet.
No, you do not amend your return to remove the dependent. There is no way a 17 year old child who earns a few hundred dollars cannot be a dependent since they are not providing over one-half of their own support.
How the stimulus will work on a 2020 tax return is not yet fully known.
I see. I thought it was optional whether to claim him as a dependent or not (like it is optional to jointly file with your wife or not). Thanks for the explanation.