My daughter turned 18 in 2022. She has earnings via a summer internship (first time), and also a scholarship for college that she won. She received 2 tax forms from the respective organizations. Do we continue to file her as a dependent (and pay taxes on her earnings?), or does she have to file a separate return? Both fed, and state.
If she has to file, can we use Premier edition to file for both her and mine.
Thanks!
You don't include their income on your return. It would only go on their return if they are required to file one. To file a separate return for your dependent you need to set up a new account. Online is only good for one return per account. You can use the same email address for 5 accounts.
How to start a new online return
Https://ttlc.intuit.com/questions/1894512-how-do-i-start-another-return-in-turbotax-online
Be sure on their return they check the box that says they can be claimed on someone else’s return. If their only income is W2 and under 12,950 they do not have to file a return except to get back any withholding taken out.
Filing requirements for a dependent
Thanks, we bought TurboTax from Costco and will be downloading on a Mac. Can we use the same for my daughter also (she will have to download on Windows though). Does the limit of 5 apply to this in store purchase? Thanks
We made the error of her filing and paying even taxes on it in 2023 (for 2022). How do we reclaim her payment and also gain the withholding back. TurboTax should have at least warned us not to file the taxes based on her W2 of about 2500$ income. Do we need to use TurboTax 2023 software to do this or 2022?
@afromca You will have to amend your 2022 tax return and remove the income you entered that was from your daughter. This should reduce the taxable income on your 2022 return thereby getting you a refund on the amended return.
See this TurboTax support FAQ for amending a tax return - https://ttlc.intuit.com/turbotax-support/en-us/help-article/tax-return/amend-change-correct-return-already-filed/L4VjJ9BA2_US_en_US?uid=ld1n99kr
@afromca I don't understand. Did you file her 2022 W2 on your 2022 return? How was that even possible? The IRS should have caught that and removed her W2 from your return.
She doesn't need to file a W2 for 2,500 unless she had withholding taken out. So if she didn't file, she can file a 2022 return to get the withholding back from box 2 and 17 for state. Be sure to check the box that says someone else can claim her.
Let me clarify, she filed her own, and did check the box that someone had claimed her as a dependent. We must have done something wrong that made her pay taxes with her return ( I did not put her income on mine). Thanks
But did she get a W2 or a 1099NEC? Did they take any taxes out like for Social Security and Medicare? Sounds like she got a 1099NEC. That is filed on schedule C and owed self employment tax on it. Look over her return. What line is the income on? What is on line 11 & 12? It's possible she owes tax. Is the scholarship showing up as taxable? Might be added with the W2 on 1040 line 1.
She received a W2(for internship) and 1099-misc (for scholarship). W2 withheld the social security and Medicare taxes. Although the total for both is about 5K, but seems the 1099 might be triggering taxes? Thanks!
If the 1099-MISC was entered in a way that indicated it was from self-employment, TurboTax may have calculated self-employment tax on that income. You would see an amount on the return for "Other taxes, including self-employment tax, from Schedule 2, line 21" on line 23 of the 2022 Form 1040.
You can enter Form 1099-MISC and identify that it was not income from working so that it doesn't get misclassified as self-employment income:
Form 1099-MISC should not have been used by the payer to report the amount if it represented scholarship or fellowship grants. Scholarship or fellowship grants that are taxable to the recipient because they are paid for teaching, research, or other services as a condition for receiving the grant are considered wages and should be reported on Form W-2.
If you need to amend a 2022 return prepared using TurboTax, log in to your account, open the tax return you already filed, and click on the link to amend your return. From there, the software will walk you through the process of filing the amendment.
See this article and this one for more information on filing an amended return with TurboTax.