Question

My child is a dependent receiving Social Security benefits. How do I report these benefits?

Answer

You aren’t taxed on Social Security Benefits for your Dependents. Since your child is the person with the legal right to receive these Social Security Benefits, they’re only taxable to her. These benefits are reported on her return if she files a return. This is true even if the benefits are deposited in your account.

Your child’s Social Security benefits are tax-free as long as her provisional income is less than the base amount. The base amount is $25,000 for a single person. Provisional income is the total of:

  • 50% of her Social Security benefits
  • Other taxable and tax-exempt income

So, if your child has other income besides Social Security, she might be taxed on some of her benefits. Her other income might include taxable scholarships and wages from a job. Also, your child’s Social Security benefits might be a factor if you can claim her as a dependent. For the support test, the Social Security benefits your child spends on her own support are considered provided by her. This is regardless of whether the benefits are taxable.

Related Topics

Related Resources

Give and Get: Tax Deductions for Cash Donations

When you make cash donations to a qualified charitable organization, you may be able to take a tax deduction. Learn how at H&R Block.

2020 Stimulus payment information

The IRS is providing stimulus payments to millions of Americans. Find out how the IRS will send your payment with answers from the experts at H&R Block.

Mortgage Interest Deduction & Unmarried Couples

Learn more about deducting mortgage interest if you are unmarried with advice from the tax experts at H&R Block.

What Are Unreimbursed Partnership Expenses?

Did you pay partnership expenses out of your own pocket? Find out if it’s possible to claim a deduction on unreimbursed partnership expenses.