I am the child (minor) of immigrant parents and they use my social security to file their IRS taxes and was wondering if this could be a problem for me in the future?
Answered on September 16,2023
Yes this can be a problem for you and your parents. It depends on what they are doing with your SSN - are they using it with an employer, or using it on the tax return itself? The biggest problem for a person whose SSN is being used by someone else is that IRS may think they are working but not filing tax returns. Then IRS would send you a notice saying you need to file a return, then eventually they might bill you for income taxes.
People who don't have work authorization in the US often use another person's SSN at work, but they should get their own ITIN (Individual Taxpayer Identification Number) to use on the tax return itself. IRS issues ITINs when people apply with the W-7 application and a tax return.
The ITIN application requires a tax return and W-7 form. They can use a passport to verify their identity and foreign status, but I don't recommend sending the original passports to the IRS; either go to an IRS office that does document review, or go to a Certifying Acceptance Agent (CAA).
There are free tax preparation programs that can help with the ITIN application process - most of them operate from late January through April 15 or so. My local program refers people to CAAs that work at local credit unions.
Free Tax Return Preparation for Qualifying Taxpayers
ITINs can also be used to open accounts at banks or credit unions. They cannot be used the same way as SSNs to work, although I have seen a couple W-2s with ITINs on them.
Your parents also might want to contact a local Low Income Taxpayer Clinic to get help fixing previous tax returns. The free tax preparation programs can help amend returns, but if tax returns were filed under your SSN that would require more advanced help.