Social Security Benefits

[heathershenkosky]

I am disabled an receive SSDI benefits. Both of my Children are young an also receive Social Security Benefits because I am disabled. Both of my children get a FORM SSA 1099 at the end of the year. MY younger son lives with me full time so he is our dependent. My older son lives with his mom 40/60 an I have his benefits assigned to her directly as she claims him on her taxes. My Question, Do I open a separate filling for my younger son an do his taxes based off the SSA-1099 Fed an state or am I suppose to claim his benefits under my taxes instead? I am also assuming my older son whos benefits are assigned directly to his mom is responsible for claiming his taxes as she would have gotten his SSA-1099 statement an claims him as a dependent but told her I would give her a heads up as I am not exactly sure how that is suppose to be claimed.  

[ErnieS0 · Accepted solution]

Social Security benefits are not taxable unless you have other income.

You do not have to file tax returns for your sons if their only income is from Social Security.

[bosso3]

If a person is not married and is required to file a tax return, they can only file it for themselves (one person).

If they (you) are married as of 12/31/2021, you must file married - either jointly or separately.

You should not report income paid to a child on your return.

If a child has income, they may need to file a return. 

If a child files a return, and they can be claimed as a dependent on someone else's return they should be sure to check the box stating that someone else can claim them as a dependent.

To determine if you or a child needs to file a return, I suggest you do the following for each person who has income:

Use the IRS conversation at https://www.irs.gov/help/ita/do-i-need-to-file-a-tax-return

Click the "Begin" button at the bottom of the page and enter the information.

The result will tell you if they needs to file.

You can also refer to https://www.irs.gov/publications/p501#en_US_2021_publink[phone number removed]
In this link, it is addressed under "Who Must File."

Also https://www.irs.gov/taxtopics/tc553 addresses some more unusual situations regarding a dependent's unearned income.

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[bosso3]

I respectfully disagree with your statement that "Social Security benefits are not taxable unless you have other income."  In general, for many people, this is true.  However, as a blanket statement for all people, as I understand it, this is not true.  It depends upon how much one receives in Social Security benefits and how one files.

Refer to https://www.irs.gov/pub/irs-pdf/n703.pdf

Case 1:  If Social Security benefits are greater than 50,000 and filing single, then the benefits may be taxable.  This is likely to happen if someone received any lump-sum benefit payments,or they were a very high earner during a long working career.  I personally have experienced the lump sum situation.

Case 2:  If one files married separately, and line e is greater than zero then the benefits may be taxable.

This could actually be the case in this person's question.  The questioner does not state this info.

Agree? Disagree? I am open to comments.

[xmasbaby0]

Your children's Social Security does not go on the parents' returns.   Someday if they have other income from a summer or after school job, etc. if they file a tax return then the SSA1099 goes on their return---never on yours.  While the SS is the only income going to them it does not go on anybody's tax return.