Discussion:Social Security Benefits Child Survivor
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Discussion Forum Index --> Tax Questions --> Social Security Benefits Child Survivor
| 29 January 2006 | |
| My client's brother is 18 and a full-time student (high school) receiving social security benefits from the death of their mother. My client is claiming her brother as a dependent since he has lived with her all year. He has received $3000 social security benefits (Box 5) and about $1100 work income. My client's income is only $11,300. Does my client have to claim this money as income? Is the social security benefit taxable? Is the brother's work income claimed on her return and should he get his federal tax back since he is a full-time student? | |
| 29 January 2006 | |
| Your client can claim her brother as a dependent assuming he is not a qualifying child of someone else and brother did not provide over one half of his support. Brother is not required to file but must file if he wants to get back any FWT back. Brother meets gross income test because in this case 3,000 social security would not be taxable. By definition for this purpose, gross income is all income not exempt from tax. He meets the residency and relationship tests.
Client should file and claim her 11,300 to get any FWT back, but more importantly to claim EIC. Child tax credit would not come into play because of her low income level. Possibly might get very small additional child tax credit since her income is over 11,000. Under no circumstances does your client claim brother's income on her return. | |
| 29 January 2006 | |
| Thanks so much. I had looked it up in my tax book and thought this was the case, but I wanted to make sure so that I didn't make any errors. | |
Dan's Tax Service (talk|edits) said: | 12 February 2008 |
| My clients (Husband & wife) child received $10,000 in Social Security benefits in 07. The benefits are the result of the death of the biological father. Are the benefits taxable? If so, on my clients return; or, do I need to file a separate return for the child? Thanks | |
| 12 February 2008 | |
| The $10,000 would be income to the child. The child should not have to file a tax return unless they have other income that would be taxable.
Dusty | |
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