I am trying to see results if I use child's college cost on mine vs their own. Do I have to set up text filings or can I adjust in mine and theirs to see differences?

[rental-help]

I have completed mine and his as filing on our own. I now want to see if I add him and include the college cost on mine - but the only way I see to do that is to set up test filings. Any suggestions?

[DanaB27]

Yes, you would have to add the information to your return and then make changes afterward or create a test return. 

Yes, if you are claiming your child as a dependent then your child cannot claim the Education Credits on his/her return.

Also, if you decide to not claim your child as a dependent but he/she can be claimed as a dependent then he/she will have to indicate on his/her tax return that she can be claimed as a dependent but no one is claiming him/her in 2021. 

If this applies then your child may qualify for a portion of the American Opportunity Credit. But if your child's income is less than 10K, then he/she is not going to qualify for the non-refundable portion.   

A full-time unmarried student, under age 24, whether claimed or not,  is only eligible for the refundable portion of the American Opportunity Credit if he supports himself by working.  You cannot be supporting yourself on parental support, 529 plans, or student loans & grants.  You usually must have actually paid tuition, not had it paid by scholarships & grants. 

[rental-help]

Thanks. What is the significance of "can be claimed" vs "can't be claimed" = does it impact what credits/deductions can be made? Or is it just informational?

[Vanessa A]

Yes, it does impact what credits can be claimed.  The American Opportunity Tax Credit also has a refundable portion to it.  If your child can be claimed, then they are not eligible for the refundable portion, they are only eligible for the portion that will decrease their tax due.  If their income is less than the standard deduction or they have no tax due, they will not benefit from the credit at all.

You as the parent, if you are otherwise eligible to claim the credit, may be able to take both the refundable and non refundable portion of the credit. 

[xmasbaby0]

A dependent cannot get education credits.   If you are claiming your child as a dependent then the child cannot get an education credit.  And if you are NOT claiming the child---YOU cannot get an education credit for them.

You do not "choose" whether your child can be claimed.   You follow the rules.    If the child CAN be claimed then they have to say on their own return that they can be claimed as someone else's dependent.

https://ttlc.intuit.com/community/dependents/help/when-do-i-have-to-answer-yes-to-being-claimed-as-a...

[rental-help]

this is helpful. To clarify - if a child is under 24 but not a full time student for at least 5 months - then the child cannot be claimed on someone else's taxes - is that correct? 

So a part time student would not qualify to be claimed by someone else if that is correct.

[xmasbaby0]

There are two kinds of dependents---qualifying child and qualifying relative.   

WHO CAN I CLAIM AS A DEPENDENT?

You can claim a child, relative, friend, or fiancé (etc.) as a dependent on your 2021 taxes as long as they meet the following requirements:

Qualifying child

• They're related to you.
• They aren't claimed as a dependent by someone else.
• They're a U.S. citizen, resident alien, national, or a Canadian or Mexican resident.
• They aren’t filing a joint return with their spouse.
• They're under the age of 19 (or 24 for full-time students).
• No age limit for permanently and totally disabled children.
• They lived with you for more than half the year (exceptions apply).
• They didn't provide more than half of their own support for the year.

Qualifying relative

• They don't have to be related to you (despite the name).
• They aren't claimed as a dependent by someone else.
• They're a U.S. citizen, resident alien, national, or a Canadian or Mexican resident.
• They aren’t filing a joint return with their spouse.
• They lived with you the entire year (exceptions apply).
• They made less than $4,300 in 2021.
• You provided more than half of their financial support.

When you add someone as a dependent, we'll ask a series of questions to make sure you can claim them. There may be other tax benefits you can get when you claim a dependent.