Dependent daughter in remote school

[jawckey]

Hello,

During the year 2022. I lived in Arizona and my daughter of 26 years was studying in medical school in Missouri. I supported her education etc..

• I file joint with my wife and Turbo tax decided to claim my daughter as my dependent and I filed off my IT return (Fed and AZ)

My question is about my daughter.

1. Can I claim as if she is living with me in Arizona and file her for Arizona return for state part
2. OR do I have to file her Missouri resident as Missouri return for state part.

[jawckey]

And my daughter has zero income in 2022

[KrisD15 · Accepted solution]

1. YES

If your daughter is only "not in your house" because she is attending school, she would meet the "Living the whole year" in your AZ household. 

If the other requirements are met, you can claim her as a Qualifying Relative, and your Dependent. Even as a student, she is too old to be your qualifying child. 

If your daughter has no income, she would not file any state return. 

To claim a person as a dependent, they need to be your “Qualifying child” or “Qualifying Relative”.
A person can only be claimed by one taxpayer. If the person is claimed as a dependent, they can still file a tax return, but they must mark that someone else is claiming them. 
Qualifying child
RELATIONSHIP: A qualifying child can be your son, daughter, stepchild, eligible foster child, brother, sister, half brother, half sister, stepbrother, stepsister, adopted child or an offspring of any of them.
AGE: The child must be younger than you (or your spouse if filing jointly), AND at the end of the tax year, your child must have been under age 19 (or under 24 if a full-time student). There is no age limit if your child is permanently and totally disabled.
RESIDENCY: Your child must live with you for more than half the year. There are exceptions, such as being away at school, serving in the military, hospitalization and nursing home situations. 
SUPPORT: Your child may not have provided more than half of their own support. Scholarships and grants are not considered as support provided by the student. 
JOINT RETURN: Your child cannot file on a Married Filing Jointly” return. (The exception is if they only file to claim a refund)
Are you the only person claiming them? This requirement commonly applies to children of divorced parents. Here you must use the “tie breaker rules,” which are found in IRS Publication 501. These rules establish income, parentage and residency requirements for claiming a child.
Parents might also file an agreement allowing the non-custodial parent to claim a child. 

Qualifying relative
NOT A QUALIFYING CHILD: If this person can be claimed as the qualifying child by a different taxpayer, this person cannot be claimed as a Qualifying Relative. 
RESIDENCY: This person must live with you for the entire year, unless they are a “relative who does not live with you”. You can find a list in Publication 501. Your parent does not need to live with you if you support them.
GROSS INCOME: This person cannot have earned more than 4,400 in 2022

SUPPORT: You must have supplied more that half their support