Tax question Child's soc security

[disneymarie]

My daughter receives benefits as I am disabled, husband retired. Is there a reason we declare this? It is not earned income. Sorry, hanging on hold is killing me with IRS just thought the Dis'ers would know faster? She receives more than $500 a month.
TIA

 

[mnrose]

The short answer: It depends. See this explanation. If you are in doubt, consult a qualified tax preparer. Without all the facts, it's impossible to answer.

http://www.ehow.com/about_5394251_social-security-benefits-children-taxable.html

What all this means is that it depends on the child's total income. Just because it isn't "earned" doesn't mean it isn't taxable.

 

[Eeyore'sthebest]

You won't have to claim it either for the family or your child. That being said, maintain the 1099 with all your other tax documents.

My DD received benefits as my DH is disabled. We have to file this year for the first time because they gave us a retro check for the past 12.5 years. Apparently they had been underpaying for her entire life. So the 1099 came in one lump sum with a breakdown on the bottom. Our accountant will file all the appropriate paperwork so that the IRS can see that it is not one year's worth of income.

 

[disneymarie]

Thanks for the help!
I think I should have asked if any one with a child turning 18, disabled, if the application for SSI is accepted will she have to file income taxes declaring the SSI?
Will she collect on her Dad. Or is there the regular formula?
Tank you if anyone knows.

 

[disneymarie]

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