Question

Severin, who is 20 years old and a full- time student, is claimed by his parent as a dependent. However, in 2019, he earned $3,350. What is his standard deduction?

a) $3,350.
b) $1,050.
c) $3,700.
d) $0.

Answer 1

d) $0.

Step-by-step explanation:

In this scenario, Severin's standard deduction would be $0. This is mainly due to the fact that his parent's claimed him as a dependent. In doing so the IRS considers that Severin's parents are paying for all of his expenses and they would therefore be the ones getting a deduction on their taxes. Even though Severin is the one earning his money and paying his own expenses he is not entitled to a deduction in the eyes of the IRS.