Child tax return

[taxdrama]

My 17-year old  daughter earned about $1800 in 2021 through a summer job. She also earned about $1 (one dollar) interest on a bank account jointly held by her and me. Questions:

1. Does she have to file tax returns for year 2021?

2. Can I still claim her as a dependent on my wife and my joint tax return?

3. If she does not have to file her returns and I can claim her as a dependent on my wife and my joint tax return, can I simply ignore her 2021 income (both wages and interest) and not do anything about it?

[VolvoGirl · Accepted solution]

If they are under 19 or under 24 and a full time student you can still claim them.   

You don't include their income on your return. It would only go on their return if they are required to file one.  They don't have to file if they only have Social Security or W2 income under 12,550 but can file to get back any withholding taken out in boxes 2 or 17.  But you don't get boxes 4 or 6 back.   If they got a 1099NEC for it they do have to file a tax return for it.

To file a separate return for a dependent in the Online version you need to set up a new account separate from yours.  Online is only good for one return per account.  You can use the same email address for 5 accounts.  You can probably use the Free Edition

Https://ttlc.intuit.com/questions/1894512-how-do-i-start-another-return-in-turbotax-online 

Be sure on the dependent return you check the box that says you can be claimed on someone else’s return.  If their only income is W2 and under 12,550 they do not have to file a return except to get back any withholding taken out.

Filing requirements for a dependent

https://ttlc.intuit.com/community/children-dependents/help/do-i-need-to-file-my-own-taxes-if-i-m-a-d...