Exempt from Exemptions? Your Working Kids and Their W-2s

Don’t let your child’s taxes put your own return in jeopardy. If your child worked and had a W-2, exercise a little parental oversight of the filing process. Tax forms can be confusing for adults; for kids they can be double the trouble, especially when it comes to exemptions.We can’t tell you how many parents we know whose responsible children filed their own taxes but claimed themselves as exemptions, thereby creating parental tax problems since parents typically claim their dependent children.

The error can be corrected easily enough through an amended return, says Advantage 3's Janet, but that action then prohibits a parent from filing electronically. If you think your very responsible employed child may have inadvertently put you at risk with incorrect information, give us a call. We’ll help you sort it out and educate your family on what to do next year.  

Advantage 3 Tax & Financial Services is a full service firm, offering tax preparation for individuals and businesses, investment and financial planning, payroll services and more.  Co-owner Susan is a Dave Ramsey Endorsed Local Provider for Taxes. For more information call 708-478-8000, visit www.advantage3.net or keep up with them on Facebook.