Tax Tip of the Week | No. 296 | No More Double Dipping in Ohio

Tax Tip of the Week | April 1, 2015 | No. 296 | No More Double Dipping in OhioA change in Ohio tax laws

Beginning with the 2014 filing year, dependents will no longer be able to claim a personal exemption, if another taxpayer claims them on their return.This primarily impacts high school and college age students with part-time jobs, who are claimed on their parent’s tax returns.Such a student with a part-time job could never claim themselves on their federal tax return, if claimed by the parents.  However, up until now, Ohio allowed such “double dipping.” Usually when we filed a dependent return for our clients, the student would almost always get back all of their Ohio tax withholdings. We didn’t see that as often this tax season.Ohio also introduced Schedule J for the 2014 filing season.  This form was created to capture information on dependents being claimed on Ohio tax returns.You can contact us in Dayton at 937-436-3133 and in Xenia at 937-372-3504.  Or visit our website.Rick Prewitt - the guy behind TTW...until next week.