MARYS
Level 1

When is it appropriate to use the designation, "Could be a dependent" on screen 1?

Is it subjective?  Is choice based upon best tax outcome for the individual or is there some criteria?

 

0 Cheers
IRonMaN
Level 15

If they didn't provide over half of their own support is a pretty good starting spot.


Slava Ukraini!
sjrcpa
Level 15

It is based on the facts and the rules for claiming dependents. It is not based on the best tax outcome.


Ex-AllStar
qbteachmt
Level 15

https://www.irs.gov/publications/p501

"Publication 501 (2019), Dependents, Standard Deduction, and Filing Information"

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scheunemanncpa
Level 4

A parent can elect not to claim the dependent.  The dependent still does not claim themselves.  This is used when the parent's income is too high to get college credits and maybe the other dependent credit.  The student does not qualify for the refundable portion of the college credits.