My son is a 21-year old college student and could be claimed as my dependent as he meets the definitions. However, I make too much income such that there is no financial benefit to me in claiming him as a dependent on my 2021 income tax filing. He was claimed as a dependent in all previous years.
While completing my son’s 2021 taxes, we learned that he could get the 3rd economic stimulus payment ($1,400) through the Recovery Rebate Credit while filing his taxes. He just needs to indicate that he is not a dependent in TurboTax and this makes him eligible.
Since there is no benefit to me claiming him as a dependent, I could file my taxes without him being listed as a dependent and then he could file his taxes to get the $1,400.
The part that’s unclear to me is whether the important determination is CAN HE BE CLAIMED? or IS HE ACTUALLY CLAIMED? since these are two different things. I CAN claim him, but might elect NOT to claim him. Is this a legitimate way to get him the refund, or is my decision whether to claim him or not irrelevant?
While completing my son’s 2021 taxes, we learned that he could get the 3rd economic stimulus payment ($1,400) through the Recovery Rebate Credit while filing his taxes. He just needs to indicate that he is not a dependent in TurboTax and this makes him eligible.
On the 1040 https://www.irs.gov/pub/irs-pdf/f1040.pdf he is supposed to check the box that says “Someone can claim: You as a dependent” So whether or not you claim him, he is eligible to be claimed and needs to have that box checked.
The part that’s unclear to me is whether the important determination is CAN HE BE CLAIMED? or IS HE ACTUALLY CLAIMED? since these are two different things. I CAN claim him, but might elect NOT to claim him. Is this a legitimate way to get him the refund, or is my decision whether to claim him or not irrelevant?
They are two different things. Since he can be claimed, that’s what he needs to answer, whether or not you actually claim him.
My son is a 21-year old college student and could be claimed as my dependent as he meets the definitions.
Are you sure he didn’t provide >50% of his own support for 2021?
If he provided >50% of his own support then he can’t be claimed.
I would think wages he earned working for you count as providing for his own support.
As would spending savings that he had.
And if you can’t claim him, what else will that affect? (probably not medical insurance, but maybe there are other things like financial aid)
My son is a 21-year old college student and could be claimed as my dependent as he meets the definitions.
Are you sure he didn’t provide >50% of his own support for 2021? If he provided >50% of his own support then he can’t be claimed. I would think wages he earned working for you count as providing for his own support. As would spending savings that he had.
Earning money doesn’t equate to providing support. It’s the expenditure of funds that equals support. For instance, if the son is living at home, the imputed cost of housing would be support from the parents. Who is paying for college? The son could be saving his earnings and providing 0% of his support.