Hello,
Have an adult son, who, for various reasons, I provide full, free, room and board, food, etc.
Also, dollars, along with some aid from the State, for his health insurance.
I have been taking him off on my taxes as a Dependent, since I pay literally all of his living costs.
We have just found some very, very, old Saving Bonds (in his name). No longer accruing any interest, so he is thinking of cashing them in, of course.
Questions, please:
a. Would the value of them, or the interest only portion (most of the value now), possibly prohibit me from claiming him as a Deduction ?
e.g., would it be considered as "income" for determining his eligibility as a Dependent ?
Or, must it be true "earned income" to be considered ?
Or,...?
b. If it is "income", what would be the magic number where he no longer could be considered a Dependent ?
Any other thoughts on all of this would be most appreciated.
Much thanks, B.