cientax Posted July 25, 2011 Report Share Posted July 25, 2011 Client wants to take distribution for her child for college but the child is no longer her dependent. Well she be subject to 10% penalty since the child is not her dependent? The exception for higher education reads as follows from Pub 590; "The education must be for you, your spouse, or the children or grandchildren of you or your spouse." Nowhrer does it state that the child must be adpendent. Thank you. Quote Link to comment Share on other sites More sharing options...
Don in Upstate NY Posted July 26, 2011 Report Share Posted July 26, 2011 Client wants to take distribution for her child for college but the child is no longer her dependent. Well she be subject to 10% penalty since the child is not her dependent? The exception for higher education reads as follows from Pub 590; "The education must be for you, your spouse, or the children or grandchildren of you or your spouse." Nowhere does it state that the child must be a dependent. Thank you. The Tax Book explicitly notes that the student does NOT have to be a dependent. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.