Filing 2021 taxes for my teenager son

[Frank03]

My son started working part-time during 2021 while he was 17 years old and a high school student. He turned 18 in 2022. He received his W-2 and his income was about $5600. Box 2 on his W-2 only has about $16 in taxes withheld. I'm still claiming him as a dependent on my return. 

My questions are:

1. does he have to file his own taxes or do I enter his income on my return?

2. while preparing his own tax return (he did state that he will be claimed as a dependent on my return), looks like he will get a refund for all the federal and state taxes withheld. Is that normal, are teenagers not required to have taxes withheld on their W-2?

Thank you.

[xmasbaby0]

You do not enter his wages on your tax return.   He can file his own tax return to seek a refund of that small amount in box 2 if he wants to--he is not required to file.  If he does file a return he must say on his own return that he can be claimed as a dependent on someone else's tax return.  He will not get back anything from boxes 3 or 4.  Only box 2 and/or maybe box 17 from the state.

[Bsch4477]

He files his own return and you are correct that he must check the box saying that someone else can claim him.  Tax withheld amount is determined by the W-4 he gave to his employer. Look at the deductions worksheet on that form to eliminate withholding if his projected pay will be less than his filing requirement. 

You might want to consider a Roth IRA for him based on his earned income. 

[JillS56]

In answer to your first question, you do not include his W-2 on your return.  He can file a tax return to receive his withholdings in a refund.    

In answer to your second question, yes this is normal.  He has to state that someone else is claiming him as a dependent and he should receive the full amount of any withholding on his federal and some states will return the full amount some actual charge tax.   

[Frank03]

Thank you.

is there a limit on how much he can make as a dependent during the year before he cannot get a refund of taxes withheld from his W-2?

[Frank03]

Where do I find what his filing requirement is?

Also, why consider a Roth IRA?

[xmasbaby0]

"is there a limit on how much he can make as a dependent during the year before he cannot get a refund of taxes withheld from his W-2?"

No, there is not a limit to how much he could earn and get a refund of tax withheld.   His refund --like anyone else's--- is based on the difference between his tax liability and the amount of tax withheld from his pay.  

"Where do I find what his filing requirement is"

Who has to file?

http://www.irs.gov/uac/Do-I-Need-to-File-a-Tax-Return%3F

"Also, why consider a Roth IRA?"

https://www.investopedia.com/terms/r/rothira.asp