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Should my daughter a college student file by herself or should I claim her?

 
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5 Replies

Should my daughter a college student file by herself or should I claim her?

If she is a full time student under the age of 24 and she can be claimed as a dependent under the Qualifying Child rules then she must indicate on her tax return that she is a dependent.  Regardless if she is actually claimed as a dependent on someone else's tax return.

 

To be a Qualifying Child -

1. The child must be your son, daughter, stepchild, foster child, brother, sister, half brother, half sister, stepbrother, stepsister, or a descendant of any of them.
2. The child must be (a) under age 19 at the end of the year, (b) under age 24 at the end of the year and a full-time student or (c) any age and permanently and totally disabled.
3. The child must have lived with you for more than half of the year. Temporary absences while away at college are considered living with you.
4. The child must not have provided more than half of his or her own support for the year.
5. If the child meets the rules to be a qualifying child of more than one person, you must be the person entitled to claim the child as a qualifying child.
6. The child must be a U.S. citizen or U.S., Canada or Mexico resident for some portion of the year.
7. The child must be younger than you unless disabled.

 

DJS
Level 8

Should my daughter a college student file by herself or should I claim her?

Unless she's required to file a return (see below) it's very likely that it would be best if you claim her as a dependent, assuming that she qualifies. Please see the rules for who you can claim as a dependent: https://turbotax.intuit.com/tax-tips/family/rules-for-claiming-a-dependent-on-your-tax-return/L8LODb... 

 

An unmarried dependent student must file a tax return if his or her earned or unearned income exceeds certain limits. To find these limits, refer to Dependents under Who Must File in Publication 501, Dependents, Standard Deduction and Filing Information. You can also refer to Do I Need to File a Tax Return? to see if your income requires you to file.

Even if you don't have to file a federal income tax return, you should file if you can get money back (for example, you had federal income tax withheld from your pay or you qualify for a refundable tax credit). See Who Should File in Publication 501 for more examples.

If you're single single under 65 and your gross income is $12,400 or more then you must fine a tax return.

Gross income means all income you receive in the form of money, goods,
property, and services that isn't exempt from tax, including any income from sources
outside the United States or from the sale of your main home (even if you can exclude
part or all of it).

 

Answers are correct to the best of my ability but do not constitute legal or tax advice.
**If this post is helpful please click on "thumbs up"**

Should my daughter a college student file by herself or should I claim her?

I fear this is going to be a real issue this year ...where folks are not going to claim legal dependents so they can get the stimulus checks illegally.  

 

The law states that if you are legally a dependent then you are not legally eligible for the stimulus check even if they are not claimed as a dependent.  The TT program specifically asks  CAN you be claimed as a dependent and if you answer yes then it ask if you WILL be claimed.  The first question eliminates your ability to get the stimulus credit  and the second will allow you to get the non refundable portion of the education credit.  

 

 

IRS interview to help determine who can be claimed:

https://www.irs.gov/help/ita/who-can-i-claim-as-a-dependent

https://ttlc.intuit.com/questions/3113432-who-can-i-claim-as-my-dependent 

 

Should my daughter a college student file by herself or should I claim her?

@debbieannjon - it could be both - 

 

if she earns enough money or tax withheld from her paycheck or works as a contractor (and not a W-2 employee), she is required to file....

 

you have the option of claiming her as a dependent or not claiming her.  But frankly, if you don't claim her, you can't claim the AOC credits.  Also if you CAN claim her, even if you don't, she is not eligible for the $1200 stimulus. 

 

best to follow the prompts in TurboTax... but suggest not "over thinking it"; the IRS has had plenty of time to overthink it themselves and does motivate taxpayers to claim their college students in most all scenarios 

 

Should my daughter a college student file by herself or should I claim her?

As others have indicated, your question is probably about the issue of stimulus  money.  Also, as previously stated, full time students  who can be dependents are not eligible for the stimulus payment.

 

Another possible issue: 

There's a new urban myth among college students that says they can get a $1000 from the government just for filing a tax form. For most of them, they simply aren't eligible. A full time unmarried student, under age 24, is only eligible for the refundable portion of the American Opportunity Credit if he supports himself by working. You (the student) 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.  It is usually best if the parent claims that credit. 

You cannot claim a credit if you are, or can be, claimed as a dependent by someone else.

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