My brother's wife gets about $1600 a month social security from where her kids dad died. They say the don't have to claim this money on their income tax. Is this true?
2007-01-13 03:12:39 · 5 answers · asked by AngieBaby 3 in Business & Finance ➔ Taxes ➔ United States
The reason that your brothers wife does not have to report the income is that the money is not hers. When a parent dies the social security benefits are paid to the children, the parent only spends the money. Unless the children have alot of income from other sources it would not be taxable to them, so it winds up tax free.
2007-01-13 04:32:38 · answer #1 · answered by irongrama 6 · 0⤊ 0⤋
Yes, it must be claimed on the 1040; however, it will only be taxed if they had enough income.
2007-01-13 03:59:08 · answer #2 · answered by j-man 4 · 0⤊ 0⤋
by using regulation as written your son's money coming in do no longer enter onto your go back in any respect, structure or style. earnings of dependents is under no circumstances blanketed which includes your earnings. Pub 17 at IRS.GOV is accessible loose in case you want to ascertain all about it.
2016-10-31 00:07:10 · answer #3 · answered by ? 4 · 0⤊ 0⤋
yup,,,as long as thats her only income,,im on SSI and as long as i dont marry or have worked its tax free,,,,thats what SSI says,,but i would call to make sure,,,,
LH
2007-01-13 03:23:06 · answer #4 · answered by Sweetness 5 · 0⤊ 0⤋
It has to be claimed.
2007-01-13 03:20:54 · answer #5 · answered by Haven17 5 · 0⤊ 0⤋