Question

$350 for recipients of Georgia's Medicaid

Forum|Forum|3 years ago
February 21, 2023
1 reply
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My son who only receives SSDI/SSI received $350.00 ($350 for recipients of Georgia's Medicaid) from Georgia in 2022. There is a lot of confusion if this is taxable income as for as the IRS is concerned.

Does my son need to include the $350.00 he got from Georgia as taxable income on his federal return?

From what I read that depends on if he took a standard deduction or an itemized deduction.

I am very confused ...

V

Vanessa A

If your son is only receiving SSDI, he most likely does not need to file a return. Most people who receive only SSDI do not need to file a return, if they are single. If half of his SSDI plus his other income is greater than his standard deduction (for single) of $12,950

Ex. Your son gets $1,000 per month from SSDI. He has no other income. This would be a total of $12,000 per year. Only half of that would be included in taxable income if he had other income. This means his potential taxable SSDI would be $6,000. This is well under the standard deduction of $12,950, so he would not need to file a return even if he received an additional $350 of income that may otherwise be taxable since he would still be well below the threshold.

When you are talking about needing to include it if he took a standard deduction or itemized deduction, that applies to state tax refunds. If he would have itemized his return in the year prior and took a deduction for state income taxes paid and received a refund of $350, then he would include this in his taxable income IF he had to file a return. This does not apply to other types of income from the state.

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