Why are they asking this information?
This set of questions asks your parent / parents to determine your parent’s / parents’ overall earnings and income for the year. This would include, but is not limited to their wage earnings.
How to answer this question / fill out this section
For either tax return, use the following to impute their earnings:
- IRS Form 1040: Use Lines 7 + 12 + 18* + Box 14 of IRS Schedule K-1 (Form 1065)
- IRS Form 1040A: Use Line 7
- IRS Form 1040EZ: Use Line 1
Note: If they did not file taxes, they will need to enter the figures in Boxes 1 + 8 on their W-2 statement.
Additional considerations
- Form 1065 is an associated tax return for business owners. The Schedule K-1 tells your parent/parents how much they have earned from that business.
