Important Changes

Filing requirements.   The amount of gross income that many dependents with earned income (wages, tips, etc.) can have during the year without having to file a return has increased. See Filing Requirements in Part 1.

Standard deduction.   The standard deduction for many dependents with earned income (wages, tips, etc.) has increased. See Standard Deduction in Part 1.

Alternative minimum tax.   The limit on the exemption amount for figuring the alternative minimum tax of a child filing Form 8615 has increased to the child's earned income plus $5,500. See Alternative Minimum Tax in Part 2.

Important Reminders

Third party designee.   A child's parent or guardian who does not sign the child's return may be authorized by the person who does sign the return to answer, as a third party designee, any questions that may arise during the processing of the return. This authorization also allows the parent to perform certain actions. See your income tax package for details. Also, see Responsibility for Child's Return, in Part 1.

Parent's election to report child's interest and dividends.   You may be able to elect to include your child's interest and dividends on your tax return. If you make this election, the child does not have to file a return. See Parent's Election To Report Child's Interest and Dividends in Part 2.

Social security number (SSN).   Dependents who are required to file a tax return must have an SSN. To apply for an SSN, file Form SS-5 with the Social Security Administration. It usually takes about 2 weeks to get an SSN.

Individual taxpayer identification number (ITIN).   The IRS will issue an ITIN to a nonresident or resident alien who does not have and is not eligible to get an SSN. To apply for an ITIN, file Form W-7 with the IRS. It usually takes about 4 to 6 weeks to get an ITIN. The ITIN is entered wherever an SSN is requested on a tax return. If you are required to include another person's SSN on your return and that person does not have and cannot get an SSN, enter that person's ITIN.

An ITIN is for tax use only. It does not entitle the holder to social security benefits or change the holder's employment or immigration status under U.S. law.

Names and numbers on tax returns must match.   You should compare the names and numbers used on tax returns with the information on the identification cards issued by the Social Security Administration or the IRS to make sure they match. People who change their surnames for any reason - such as marriage - should get updated identification cards, unless they intend to use the former name for legal purposes.

Exemption.   A person who can be claimed as a dependent on another person's tax return cannot claim an exemption for himself or herself on his or her own return.

Photographs of missing children.   The Internal Revenue Service is a proud partner with the National Center for Missing and Exploited Children. Photographs of missing children selected by the Center may appear in this publication on pages that would otherwise be blank. You can help bring these children home by looking at the photographs and calling 1-800-THE-LOST (1-800-843-5678) if you recognize a child.

Introduction

Part 1 of this publication explains the filing requirements and other tax information for individuals who can be claimed as a dependent on another person's tax return.

Part 2 explains how to report and figure the tax on certain investment income of children under age 14 (whether or not they can be claimed as dependents).

Definitions.   Many of the terms used in this publication, such as dependent, earned income, and unearned income, are defined in the Glossary at the back of this publication.

Comments and suggestions.   We welcome your comments about this publication and your suggestions for future editions.

You can e-mail us while visiting our web site at www.irs.gov.

You can write to us at the following address:

Internal Revenue Service
Tax Forms and Publications
W:CAR:MP:FP
1111 Constitution Ave. NW
Washington, DC 20224

We respond to many letters by telephone. Therefore, it would be helpful if you would include your daytime phone number, including the area code, in your correspondence.

Useful Items You may want to see:

Publication

• 501   Exemptions, Standard Deduction, and Filing Information
• 520   Scholarships and Fellowships

Form (and Instructions)

• W-4   Employee's Withholding Allowance Certificate
• 8615   Tax for Children Under Age 14 With Investment Income of More Than $1,500
• 8814   Parents' Election To Report Child's Interest and Dividends

See How To Get Tax Help near the end of this publication for information about getting these publications and forms.

Part 1. Rules for All Dependents

• Dependent
• Earned income
• Exemption
• Gross income
• Itemized deductions
• Standard deduction
• Unearned income

This part of the publication discusses the filing requirements for dependents, who is responsible for a child's return, how to figure a dependent's standard deduction and exemption (if any), and whether a dependent can claim exemption from federal income tax withholding.

Filing Requirements

Whether a dependent has to file a return generally depends on the amount of the dependent's earned and unearned income and whether the dependent is married, is age 65 or older, or is blind.

A dependent may have to file a return even if his or her income is below the amount that would normally require a return. See Other Filing Requirements, later.

The following sections apply to dependents with:

• Earned income only,
• Unearned income only, and
• Both earned and unearned income.

To find out whether a dependent must file, read the section that applies, or use Table 1 on the next page.

Earned Income Only

A dependent must file a return if all his or her income is earned income, and the total is more than the amount listed in the following table.

Marital Status	Amount
Single
Under 65 and not blind		$4,700
Either 65 or older or blind		$5,850
65 or older and blind		$7,000
Married*
Under 65 and not blind		$3,925
Either 65 or older or blind		$4,825
65 or older and blind		$5,725
*If a dependent's spouse itemizes deductions on a separate return, the dependent must file a return if the dependent has $5 or more of gross income (earned and/or unearned).

Example.   William is 16. His mother claims an exemption for him on her income tax return. He worked part time on weekends during the school year and full time during the summer. He earned $5,600 in wages. He did not have any unearned income.

He must file a tax return because he has earned income only and his total income is more than $4,700. If he were blind, he would not have to file a return because his total income is not more than $5,850.

Unearned Income Only

A dependent must file a return if all his or her income is unearned income, and the total is more than the amount listed in the following table.

Marital Status	Amount
Single
Under 65 and not blind		$  750
Either 65 or older or blind		$1,900
65 or older and blind		$3,050
Married*
Under 65 and not blind		$  750
Either 65 or older or blind		$1,650
65 or older and blind		$2,550
*If a dependent's spouse itemizes deductions on a separate return, the dependent must file a return if the dependent has $5 or more of gross income (earned and/or unearned).

Example.   Sarah is 18 and single. Her parents can claim an exemption for her on their income tax return. She received $850 of taxable interest and dividend income. She did not work during the year.

She must file a tax return because she has unearned income only and her total income is more than $750. If she were blind, she would not have to file a return because she has unearned income only and her total income is not more than $1,900.

Election to report child's unearned income on parent's return.   A parent of a child under age 14 may be able to elect to include the child's interest and dividend income on the parent's return. See Parent's Election To Report Child's Interest and Dividends in Part 2. If the parent makes this election, the child does not have to file a return.

Earned and Unearned Income

A dependent who has both earned and unearned income generally must file a return if the total income is more than line 5 of the following worksheet.

Filing Requirement Worksheet
for Most Dependents
1.	Enter dependent's earned income plus $250
2.	Minimum amount				$  750
3.	Compare lines 1 and 2. Enter the larger amount
4.	Enter the appropriate amount from the following table
		Marital Status	Amount
		Single	$4,700
		Married	$3,925
5.	Compare lines 3 and 4. Enter the smaller amount
6.	Enter the dependent's gross (total) income
If line 6 is more than line 5, the dependent must file an income tax return. If the dependent is married and his or her spouse itemizes deductions on a separate return, the dependent must file an income tax return if gross income is $5 or more.

Table 1 Filing Requirements for Dependents

Example 1.   Joe is 20, single, not blind, and a full-time college student. His parents provide most of his support and claim an exemption for him on their income tax return. He received $200 taxable interest income and earned $2,750 from a part-time job.

He does not have to file a tax return because his total income of $2,950 ($200 interest plus $2,750 in wages) is not more than $3,000, the amount on line 5 of his filled-in Filing Requirement Worksheet for Most Dependents (shown next).

Filing Requirement Worksheet
for Most Dependents
1.	Enter dependent's earned income plus $250				$ 3,000
2.	Minimum amount				750
3.	Compare lines 1 and 2. Enter the larger amount				3,000
4.	Enter the appropriate amount from the following table				4,700
		Marital Status	Amount
		Single	$4,700
		Married	$3,925
5.	Compare lines 3 and 4. Enter the smaller amount				3,000
6.	Enter the dependent's gross (total) income				$ 2,950
If line 6 is more than line 5, the dependent must file an income tax return. If the dependent is married and his or her spouse itemizes deductions on a separate return, the dependent must file an income tax return if gross income is $5 or more.

Example 2.   The facts are the same as in Example 1 except that Joe had $600 taxable interest income.

He must file a tax return because his total income of $3,350 ($600 interest plus $2,750 wages) is more than $3,000, the amount on line 5 of his filled-in worksheet (shown next).

Filing Requirement Worksheet
for Most Dependents
1.	Enter dependent's earned income plus $250				$ 3,000
2.	Minimum amount				750
3.	Compare lines 1 and 2. Enter the larger amount				3,000
4.	Enter the appropriate amount from the following table				4,700
		Marital Status	Amount
		Single	$4,700
		Married	$3,925
5.	Compare lines 3 and 4. Enter the smaller amount				3,000
6.	Enter the dependent's gross (total) income				$ 3,350
If line 6 is more than line 5, the dependent must file an income tax return. If the dependent is married and his or her spouse itemizes deductions on a separate return, the dependent must file an income tax return if gross income is $5 or more.

Age 65 or older or blind. A dependent who is age 65 or older or blind must file a return if his or her gross (total) income is more than line 7 of the following worksheet.

Filing Requirement Worksheet
for Dependents
Who Are Age 65 or Older or Blind
1.	Enter dependent's earned income plus $250
2.	Minimum amount							$ 750
3.	Compare lines 1 and 2. Enter the larger amount
4.	Enter the appropriate amount from the following table
	Marital Status
	Single
	Married
5.	Compare lines 3 and 4. Enter the smaller amount
6.	Enter the amount from the following table that applies to the dependent
	Marital Status
	Single
		Either 65 or older or blind	$1,150
		65 or older and blind	$2,300
	Married
		Either 65 or older or blind	$  900
		65 or older and blind	$1,800
7.	Add lines 5 and 6. Enter the total
8.	Enter the dependent's gross (total) income
If line 8 is more than line 7, the dependent must file an income tax return. If the dependent is married and his or her spouse itemizes deductions on a separate return, the dependent must file an income tax return if gross income is $5 or more.

Example 3.   The facts are the same as in Example 2 except that Joe is also blind. He does not have to file a return because his total income of $3,350 is not more than $4,150, the amount on line 7 of his filled-in Filing Requirement Worksheet for Dependents Who Are Age 65 or Older or Blind (shown next).

Filing Requirement Worksheet
for Dependents
Who Are Age 65 or Older or Blind
1.	Enter dependent's earned income plus $250							$3,000
2.	Minimum amount							750
3.	Compare lines 1 and 2. Enter the larger amount							3,000
4.	Enter the appropriate amount from the following table							4,700
	Marital Status
	Single
	Married
5.	Compare lines 3 and 4. Enter the smaller amount							3,000

6.	Enter the amount from the following table that applies to the dependent							1,150
	Marital Status
	Single
		Either 65 or older or blind	$1,150
		65 or older and blind	$2,300
	Married
		Either 65 or older or blind	$  900
		65 or older and blind	$1,800
7.	Add lines 5 and 6. Enter the total							4,150
8.	Enter the dependent's gross (total) income							$3,350
If line 8 is more than line 7, the dependent must file an income tax return. If the dependent is married and his or her spouse itemizes deductions on a separate return, the dependent must file an income tax return if gross income is $5 or more.

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