if my son, now 15, has a income of 10,000,and filing his own tax return, how does it have impact on my tax return?-can i claim him, if he opt not to claim on his tax return? would i be eligible to claim child tax credit?
if i am an illinois resident, how it affects on my state return? how much amt he would be paying state tax on?
2006-07-03 11:00:57 · 5 answers · asked by belashah6 1 in Business & Finance ➔ Taxes ➔ United States
Your son will need to file his own tax return, and the income from his return won't affect your return, assuming that the $10,000 is from wages, not unearned income (dividends, interest, etc.). However, there are other tax issues to consider here. The first question is if the child will still be considered your dependent if he earns $10,000. There are several tests to see if someone is a dependent, but I'll assume that the child is living with you and there is no other reason other than income that would stop you from claiming your son as a dependent. If you are providing more than half of your son's support, then you should be claiming him as a dependent unless a divorce decree states otherwise. Because of that, he can't claim himself as a dependent. Just as a note, you can't choose to let him take himself, either.
The good news here, though, is that you are still qualified to take the child tax credit (at least for a couple more years, anyway!). Save the money for those college bills!
For the state of Illinois, I'm fairly sure that your son will lose his personal exemption there as well. I would suggest that he claim Single with zero exemptions for Illinois, just to make sure he doesn't owe anything next April. For your tax return, make sure you fill out the K-12 education credit form if his school fees that you pay in his behalf exceed $250.
2006-07-03 11:23:20 · answer #1 · answered by SuzeY 5 · 0⤊ 0⤋
When he reports his income when filing his taxes, it will ask if he is claimed on your return. This will affect HIS tax liability, and should not have any effect on yours. I am not from Illinois, so I cannot help you with that part of your question.
2006-07-03 18:05:25 · answer #2 · answered by Sharon S 1 · 0⤊ 0⤋
wow a real question , um
I know that here in CA if yr child is older than 16
u can not claim him/her
2006-07-03 18:06:54 · answer #3 · answered by John w 1 · 0⤊ 0⤋
you should claim him. it will be his taxes increase slightly and yours decrase substantially. He is too old for the child credit
2006-07-03 18:09:04 · answer #4 · answered by Top 99% 3 · 0⤊ 0⤋
if you supported him you can claim him
2006-07-03 18:07:47 · answer #5 · answered by Guy R 3 · 0⤊ 0⤋