My wife is disabled and recives social security benefits, my childeren also recieve benefits under their own social security number due to my wifes disability, Are my childeren's benefits taxable?

If the social security benefits were your only source of income for 2008, your benefits would generally not be taxable and you probably do not need to file a federal income tax return.

However, if you received income from other sources, your social security benefits will not be taxed unless your modified adjusted gross income is more than the base amount for your filing status. According to the IRS, a taxpayer may be able to determine whether or not their social security taxes are taxable by following the steps as outlined below:

Step 1. Add one–half of the total social security you received to all your other income, including any tax exempt interest and other exclusions from income.

Step 2. Compare this total to the base amount for your filing status. If the total is more than your base amount, some of your benefits may be taxable. The 2008 base amounts that are applicable to you as a joint filer are $32,000.

I suspect that none of the social security benefits received by the children would be taxable as well!

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Ask TaxGuru Please refer to the legal disclaimer.

SSB received during each tax year would NOT be taxable to you when you are a single taxpayer and you do NOT have any other source of worldwide income that you receive during the tax year that you would have to add to the part that could possibly become taxable to you when you would have other sources of income that you do receive during the tax year.
YES it is possible for from 50% to 85% of your social security benefits that each taxpayer receives during the tax year to become taxable income to you when you have other sources of worldwide income that you receive during the tax year for this to take place.
And the same thing can take place on a married filing joint income tax return also for each separate taxpayer on the MFJ income tax return.
How Much Is Taxable?
WHEN and IF A part of your benefits SHOULD HAPPEN TO BECOME taxable to you, how much is taxable depends on the total amount of your benefits and other income. Generally, the higher that total amount, the greater the taxable part of your benefits.
Maximum taxable part generally, up to 50% of your benefits will be taxable. However, up to 85% of your benefits can be taxable if either of the following situations applies to you.