Originally Posted by Free To Canoe
+1 on the nice detective work. The difference in the answers doesn't even make sense (to me). Mistake in the software?
No mistake.....comes from the chart on p. A2 of pub 4012 part of which says:
Chart B – For Children and Other Dependents
If your parent (or someone else) can claim you as a dependent, use this chart to see if you must file
In this chart, unearned income includes taxable interest, ordinary dividends, and capital gain
distributions. It also includes unemployment compensation, taxable social security benefits, pensions,
annuities, and distributions of unearned income from a trust. Earned income includes salaries, wages,
tips, professional fees, and taxable scholarship and fellowship grants. Gross income is the total of
your unearned and earned income.
Single dependants. Were you either age 65 or older or blind?
□ No. You must file a return if any of the following apply.
1. Your unearned income was over $950.
2. Your earned income was over $5,800.
3. Your gross income was more than the larger of —
a. $950, or
b. Your earned income (up to $5,500) plus $300.
If you had only read the chart on the earlier p. A1, you could easily have
gotten the idea that $9500 was the threshold. I don't believe that chart makes any notes that you need to see the chart on the next pg if you are
a dependent which has a lower threshold for filing.......so sometimes (often?) you can get in trouble by only reading until you think you see the answer. Sometimes (often?) you have continue reading the paragraph/page/section /chapter until you are pretty sure you have the answer since earlier generalizations may be qualified by other conditions.