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Example 1. Michael is single, age 15, and not blind. His parents can claim him as a dependent on their tax re- turn. He has taxable interest income of $800 and wages of $150. He enters $500 (his earned income plus $350) on line 1 of Worksheet 1. On line 3, he enters $1,100, the larger of $500 or $1,100. Michael enters $12,550 on line 4. On line 5a, he enters $1,100, the smaller of $1,100 or $12,550. His standard deduction is $1,100. Example 2. Judy, a full-time student, is single, age 22, and not blind. Her parents can claim her as a dependent on their tax return. She has dividend income of $275 and wages of $2,500. She enters $2,850 (her earned income plus $350) on line 1 of Worksheet 1. On line 3, she enters $2,850, the larger of $2,850 or $1,100. She enters $12,550 on line 4. On line 5a, she enters $2,850 (the smaller of $2,850 or $12,550) as her standard deduction. Example 3. Amy, who is single, is claimed as a de- pendent on her parent’s tax return. She is 18 years old and blind. She has taxable interest income of $1,100 and wages of $2,000. She enters $2,350 (her earned income plus $350) on line 1 of Worksheet 1. She enters $2,350 (the larger of $2,350 or $1,100) on line 3, $12,550 on line 4, and $2,350 (the smaller of $2,350 or $12,550) on line 5a. Because Amy is blind, she checks the box for blindness and enters “1” in box c at the top of Worksheet 1. She enters $1,700 (the number in box c times $1,700) on line 5b. Her standard deduction on line 5c is $4,050 ($2,350 + $1,700). Standard Deduction of Zero The standard deduction for the following dependents is zero. • A married dependent filing a separate return whose spouse itemizes deductions. • A dependent who files a return for a period of less than 12 months due to a change in his or her annual accounting period. • A nonresident or dual-status alien dependent, unless the dependent is married to a U.S. citizen or resident alien at the end of the year and chooses to be treated as a U.S. resident for the year. See Pub. 519, U.S. Tax Guide for Aliens, for information on making this choice. Example. Jennifer, who is a dependent of her parents, is entitled to file a joint return with her husband. However, her husband elects to file a separate return and itemize his deductions. Because he itemizes, Jennifer's standard deduction on her return is zero. She can, however, itemize any of her allowable deductions. Dependent's Own Exemption A person who can be claimed as a dependent on another taxpayer's return generally can’t claim his or her own exemption. This is true even if the other taxpayer doesn’t actually claim the exemption. However, for tax years 2018 through 2025, the deduction for personal exemptions is suspended for a taxpayer, their spouse, and their depend- ents. Withholding From Wages Employers generally withhold federal income tax, social security tax, and Medicare tax from an employee's wages. If the employee claims exemption from withholding on Form W-4, the employer won't withhold federal income tax. The exemption from withholding doesn’t apply to so- cial security and Medicare taxes. Conditions for exemption from withholding. An em- ployee can claim exemption from withholding for 2022 only if he or she meets both of the following conditions. 1. For 2021, the employee had a right to a refund of all federal income tax withheld because he or she had no tax liability. 2. For 2022, the employee expects a refund of all federal income tax withheld because he or she expects to have no tax liability. Dependents. An employee who is a dependent ordinarily can’t claim exemption from withholding if both of the fol- lowing are true. • The employee's gross income will be more than $1,150, the minimum standard deduction for 2022. • The employee's unearned income will be more than $400. Exceptions. An employee may be able to claim ex- emption from withholding even if the employee is a de- pendent, if the employee: 1. Is age 65 or older; 2. Is blind; or 3. Will claim on his or her 2022 tax return: a. Adjustments to income, b. Tax credits, or c. Itemized deductions. The above exceptions don’t apply to supplemental wages greater than $1 million. For more information, see Exemp- tion From Withholding in chapter 1 of Pub. 505. Example. Guy is 17 and a student. During the sum- mer, he works part time at a grocery store. He expects to earn about $1,200 this year. He also worked at the store last summer and received a refund of all his withheld in- come tax because he didn't have a tax liability. The only other income he expects during the year is $375 interest on a savings account. He expects that his parents will be able to claim him as a dependent on their tax return. He isn't blind and won’t claim adjustments to income, Page 8 Publication 929 (2021)