Claiming Dependent who is 22yrs old and part time college student who worked

[taxesohmy2017]

Our son turned 22 yr old in 2022.  His Form 1098-T box 8 is checked that he was a half time student. Box 1 has $5000.  Our son did work in 2022 and earned $28,000.  Can we claim him and his tuition since he was a half time student in 2022. 

We are not sure about this.  We definitely don't want to take the AOC credit on our tax return if we don't qualify for it but at the same time, we certainly don't want to leave any possible credits out there.

Also, can someone explain in easy layman's term in regard to when I see comments about - "does not provide more than half his own support.".  

The question about the support test is because we are confused. Does that mean if our son earned $28K in 2022 we had to have to paid more than $14K in food, clothing, cell phone bill, medical etc to pass the support test? Is that correct?

Thank you in advance for your assistance.

[MaryK4 · Accepted solution]

To claim him as a dependent, in addition to the other requirements, he must be under 24 and a full-time student or his income must be under $4,400, so you probably cannot claim him as a dependent and claim the education credit for him. 

The "does not provide more than half his own support" looks at the basic living expenses, not necessarily income- then looks at how much the dependent actually paid for these expenses.  For example, if he lived with you but you paid all the housing costs, this support is not his.  The factor is not did the dependent have income to pay, but did he in fact make the payments.

[taxesohmy2017]

thank you.

Now if it comes down to the support test which we will tabulate, if he did provide more of his own support can he claim his 1098-T on his tax return and get the Lifetime Credit.  I read that he would not qualify for the American Opportunity credit, but we are curious about the lifetime credit.  From I what I am interpreting he would.  Can you let me know if what I read is correct.  Again, we definitely do not want to take credits we are not allowed to but we definitely don't want to leave possible credits on the table 

thank you.

[MaryK4 · Accepted solution]

Yes, if you cannot claim him as a dependent, he can claim the Lifelong Opportunity Credit on his own tax return (I should have mentioned this before.)  Also, see  Rules for Claiming a Dependent on Your Tax Return - TurboTax it may be helpful.  @taxesohmy2017 

[taxesohmy2017]

thank you very much.

[taxesohmy2017]

I would like to ask an additional question based off our posts - same topic.

My son said he was part year student from Jan - July - Spring/Summer but went full time in the fall. 

Would he still qualify then as a qualifying dependent (he is between the age of 19-24)? Not sure about the income test.  He earned $28K. 

Not sure how these tests work.  Do you have to pass ALL of them in order to qualify for the credit. I keep hearing others talk about as long as your dependent is under 24 and attends college full time, the income test is null void, is that true? or does the support test come into play as well?

I am trying to comprehend the publications.

Again, just trying to do what's right?

[KrisD15]

MaryK1101 gave the correct advice.  I would add that you should not go by just the 1098-T. 

To be a considered a student for the Dependent Requirement, the student only needs to be fulltime at least part of at least 5 months. 

So if your son started attending full time in August through December, he would fulfill the requirement of being a student in order to be claimed as a dependent. 

If your son was under 24 in 2022, attended full time at least part of at least 5 month, it DOES NOT MATTER what he earned, only who supplied his support. 

A student could earn half a million dollars, but if they stuck that in a savings account and their parents paid more than half of the student's support, the student would still be the parent's dependent. 

For the education credits, "at least half-time" is the requirement for the American Opportunity Tax Credit 

"At least one course" is the requirement for the "Lifetime Learning Credit"

 “I keep hearing others talk about as long as your dependent is under 24 and attends college full time, the income test is null void, is that true? or does the support test come into play as well?”

True, the INCOME the student earns does not matter, the support test does. 

To be a dependent, they must be EITHER

Qualifying Child     (income not a factor, support is)

OR

Qualifying Relative     (Income IS a factor as well as support)

Below is a chart that shows the two types, note that being away at school is the same as living at home. 

A student living at school is considered as living at home. 

[taxesohmy2017]

thank you very much for responding to my question.  This additional information helps just as much as MaryK1101 also provided.

thanks again