This is my daughter's first year and I received a tax statement from her college. She only worked part time for 6 months last year and I wasn't going to file a return for her. Am I supposed to file since she received a grant and is part of a college fund we got her? It says she may be due a tax credit for tuition and books but I don't have the slightest idea what to do? Help please??
@Ally: It depends on a few things. She doesn't need to file if she made less than a certain amount last year. Did she have Federal Income Tax withheld from her check? If so, she will probably get all that back if she files. My kids worked during the summer and if FIT was withheld, we did the short-form. Otherwise, it wasn't worth filing. As for school expenses, you can only deduct about $400, but if you didn't pay taxes or already got your taxes back, you don't get any more back.My guess would be that it's better that you still claim her as a dependent. If she made enough, she can still file a short form.Â
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