If your son has income in 2024, you don't report your son's income on your tax return.
You can still claim him as a dependent if he didn't provide more than half of his own support for the year and he was under 19 at the end of 2024 (or under 24 and a full-time student).
As he has income from a form W-2, he can open a Traditional IRA and contribute a deductible amount up to $7,000 or his W-2 income, whichever is less.
The interest from the CD is reported on a form 1099-INT which has to be entered on his own tax return.
If it has to be reported, at all, it goes on his own return. If your dependent son is under age 19 (or under 24 and a full-time student), he must file a tax return for 2024 if he had any of the following:
- Total income (wages, salaries, taxable scholarship etc.) of more than $14,600 in 2024.
- Unearned income (interest, dividends, capital gains) of more than $1,300.
- Gross income (earned plus unearned) exceeding the larger of $1,300 or his earned income (up to $14,600) plus $400.
- Other self-employment income over $400, including box 1 of a 1099-NEC
If your dependent son files his own return, he has to indicate in the My Info section of TurboTax that he can be claimed as a dependent by another taxpayer.
Even if he had less, he can file if he needs to get back income tax withholding. He can't get back Social Security or Medicare tax withholding.
