Dependent unemployment

Forum|Forum|5 years ago
March 3, 2021
2 replies
4 views

Hi,

My daughter collected unemployment due to COVID. She is a dependent on my taxes. She had taxes taken out all along, but now owes $1,400 more in tax. How can this be reduced? Her friend got more unemployment and owes half the taxes.

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SweetieJean

Alumni - Champ

Not too many dependents collect unemployment. How old is your daughter, and was also a full student in 2020? Is her friend also a dependent? Or maybe her friend had more withholding taken.

CharGreg3828Author

Level 2

Hi,

She is 18 and a full time student. Her friend is also a dependent and a student. She also received more unemployment money than my daughter and had less deducted from it and owes less than my daughter. I saw some story that said they will get taxed at your parents rate, but can't find any info on if this is true or how it works.