Dependent Standard Deduction incorrect?

[JamesLaLi]

My CPA stated that my son did not file as a dependent therefore I cannot claim him on my returns with my spouse (2019 Federal) without him amending his returns. On review of his returns (done on TurboTax) he did check the box "Someone can claim you as a dependent", and Turbotax calculated his standard deduction to be $12,000. This appears to be correct per Table 8 of the Standard Deduction Worksheet for Dependents.

My CPA however prepared a 1040X amended return with $0 and a new tax liability of $1321. Is he correct not publication 501 and Trubotax? My CPA has failed to answer any of my calls, emails or text messages since October and we are now past due on our returns which he prepared in error, and amending our son's return.

[Critter-3]

If his return has the dependent box checked then you can claim him on your return if he qualifies as a dependent.   

As for the standard deduction ...   

• For 2019, the standard deduction amount for an individual who may be claimed as a dependent by another taxpayer cannot exceed the greater of $1,100 or the sum of $350 and the individual’s earned income (not to exceed the regular standard deduction amount of 12K ).

[VolvoGirl]

He did the 1040X amended return with 0 for the Standard Deduction?  IRS Pub 501 is right.  How much income did he have?  What kind?  W2 or 1099Misc?  

The Standard Deduction for an individual for whom an exemption can be claimed on another person's tax return is limited to the greater of:
…..$1,100 or
…..Your earned income for the year + $350 (up to the max of 12,000)

So he would get a minimum of $1,100 up to the max of 12,200.

[JamesLaLi]

His income was only W2. He check the box indicating someone can claim him as dependent, had no other source of income, but my CPA sent me a 1040 deleting the $12,200 deduction so he owes $1321 on $14,841 in wages. He says we have to amend his return like this so we can claim him as a dependent.

His letter to us states "We are unable to file your tax returns due to Konnor (our son) filing as his own dependent. As I indicated his returns reflect as someone can claim him......the 1040X deducts the entire $12,200 deduction.

[JamesLaLi]

So we should be able to claim his as a dependent and he still gets the standard $12200 deduction?

[VolvoGirl]

Yes.  Unless his income is less and he gets a reduced amount.  

[JamesLaLi]

Sounds like I need a new CPA. Thank you.

[Mike9241]

you say his w-2 was over $12,200 and that he did check he could be claimed as a dependent.  the standard deduction would be the max $12,200 .   I'm assuming he did not have a schedule C on his return which showed a loss or possibly a loss from a partnership showing negative self-employment income. 

your son is not a qualifying child (you can't claim him as a dependent ) unless all these tests are met
• he has the same principal abode as you for more than ½ the tax year. Temporary absences like for school are ignored
• if he is not a full-time student, he's under 19 at the end of the tax year. If a full-time student, he's under 24 at the end of the tax year.
• he hasn't provided over ½ his own support
• he didn't file a joint return unless there was no tax liability but merely filing jointly to facilitate refund of taxes withheld or estimates paid

also, you can not claim him as a qualifying relative (dependent)  because it would seem his gross income is too high. the limit is $4200 for 2019 while his w-2 is much more. 

my guess is your CPA is not returning calls because he gave you an incorrect answer. hopefully, the amended return for your son was not filed