I received a w2 for my disable child with only box 1 amount. I have been told I shouldn't have to pay tax because it's for my daughter. IS this true?

[hoppesfamily]

I received a w2 for my disable child with only box 1 amount. I have been told I shouldn't have to pay tax because it's for taking care of my daughter?  Is this true?  Can we still claim her as a dependent if we don't have to pay the tax?

[DanaB]

Yes, if the W-2 is in your daughter's name then you do not need to include it on your tax return. You can claim her as a dependent as long as she meets all the requirements below:

https://ttlc.intuit.com/replies/5187060

Please see also this FAQ on filing requirements for dependents:

https://ttlc.intuit.com/replies/3302185

If this payment from the state fall under the Medicaid Waiver Payments for In-Home support services then please see this FAQ:

https://ttlc.intuit.com/replies/4360071

[Edit 3/23/2019 8:11]

[DanaB]

You did not find this helpful, can I clarify anything?

[hoppesfamily]

I didn't explain well.  I received the w2 from my daughter by the state.  I am paid to take care of her.  I have been told by other parents I shouldn't be paying tax on these money's because I'm her parent.  We do claim her as a dependent.

[DanaB]

Please see the edit above. You should check with the agency if the payments falls under Medicaid Waiver Payments for In-Home support services.