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Hi, all --

In another very old thread regarding 1099-MISC's for research work for a full-time undergraduate student, I was cautioned thus:

"One other thing - since she had more than $4150 in gross income, presumably you did not claim the 'other dependent' tax credit for her. If you did claim the 'other dependent' tax credit for her, I would expect that you might be getting your own letter from the IRS."

I'm now doing our taxes (extension), and in googling this, I've found mixed opinions on this, and just want to make sure that I do things correctly.

Due to the advice above, I was not planning on taking the credit for either of my two 2018 dependent college students. Both were full-time students for all of 2018, and both got more than half of their support from their dad and me (we are married filing jointly). Both checked that they could be claimed as a dependent on someone else's return when they filed. But they also both had income over $4,150.

In searching, though, on the TurboTax Support Boards, this question came up from a parent concerned that TurboTax had automatically claimed the credit for a student in my kids' situation (over 19 but under 23, supported by parents, but income over $4,150), and this was the response:

"He does not have to have less than $4150 if he is your qualifying child. If on December 31 he was under 19, or a student under 23, he is your qualifying child if he did not provide at least half of his own support. He could have made more than $4150 in this test, and you would still get the $500 Other Dependent Credit. Otherwise you wouldn't be able to claim him at all. "

Since I'm using Free File Fillable forms due to TaxAct not allowing me to take the tuition credits (different topic, but briefly, TaxAct support confirms that they do not allow you to override the numbers on the Form 8363; they draw only from the 1098-T, and if that form is wrong, you're out of luck).

Thanks for any info.
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Turbo tax is correct in this instance. If the dependent is your Qualifying Child, the exclusion would be triggered by them earning half of their own support. For any other dependent, it is earning $4,150 or more.

I don't know how Turbo Tax can hard code 1098-Ts. It is very, very rare for a school to fill these out correctly. I have always had to make corrections.
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Thank you!

Just for clarification's sake, it is TaxAct that doesn't allow access to the Form 8863. I'm not sure about TurboTax, as I have decided to just use the IRS forms instead this year, rather than jumping through a lot of hoops with different software only to land in the same situation. Sounds like that won't happen, but just in case...
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