The standard deduction for an individual who can be claimed as a
dependent on another person's tax return is generally limited to the
larger of:
- $700, or
- The individual's earned income plus $250, but not more than
the regular standard deduction (generally $4,400).
However, the standard deduction for a dependent who is 65 or older
or blind is higher.
Certain dependents cannot claim any standard deduction. See
Standard Deduction of Zero, later.
Table 2.
Table 2 is used to figure the dependent's standard
deduction.
Example 1.
Michael is single, age 15, and not blind. His parents can claim him
as a dependent on their tax return. He has taxable interest income of
$800 and wages of $150. He enters his earned income plus $250 ($400),
on line 1 of Table 2. On line 3, he enters $700, the larger
of $400 and $700. Michael enters $4,400 on line 4. On line 5a, he
enters $700, the smaller of $700 and $4,400. His standard deduction is
$700.
Example 2.
Judy, a full-time student, is single, age 22, and not blind. Her
parents can claim her as a dependent on their tax return. She has
dividend income of $275 and wages of $2,500. She enters her earned
income plus $250 ($2,750) on line 1 of Table 2. On line 3,
she enters $2,750, the larger of $2,750 and $700. She enters $4,400 on
line 4. On line 5a, she enters $2,750 (the smaller of $2,750 and
$4,400) as her standard deduction.
Example 3.
Amy, who is single, is claimed as a dependent on her parents' tax
return. She is 18 and blind. She has taxable interest income of $1,000
and wages of $2,000. She enters her earned income plus $250 ($2,250)
on line 1 of Table 2. She enters $2,250 (the larger of
$2,250 and $700) on line 3, $4,400 on line 4, and $2,250 (the smaller
of $2,250 and $4,400) on line 5a. Because Amy is blind, she checks the
box for blindness and enters "1" in the box at the top of
Table 2. She enters $1,100 on line 5b (number in the box x
$1,100). Her standard deduction on line 5c is $3,350 ($2,250 +
$1,100).
Standard Deduction
of Zero
The standard deduction for the following dependents is zero.
- A married dependent filing a separate return whose spouse
itemizes deductions.
- A dependent who files a return for a period of less than 12
months due to a change in his or her annual accounting period.
- A nonresident or dual-status alien dependent.
Standard Deduction Worksheet for Dependents
Example.
Jennifer, who is a dependent of her parents, is entitled to file a
joint return with her husband. However, her husband elects to file a
separate return and itemize his deductions. Because he itemizes,
Jennifer's standard deduction on her return is zero. She can, however,
itemize any of her allowable deductions.
Note.
If you are a nonresident or dual-status alien who is married to a
U.S. citizen or resident at the end of 2000, you may be able to choose
to be treated as a U.S. resident for 2000. See Publication 519,
U.S. Tax Guide for Aliens.
You are considered a dual-status alien if you were both a
nonresident alien and a resident alien during the year.
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