Claiming a child or family member as a dependent can often have significant tax benefits for a taxpayer. For most individual tax returns, determining who qualifies as a dependent of a taxpayer is a straightforward proposition.
However, the question can quickly get complicated in a number of situations tax pros see regularly.
Below, you’ll find a few of the top questions from a recent webinar on the topic and their accompanying answers. If you choose to attend the on-demand version of this webinar, you can access the full recording and the entire list of Q&As.
Q: Does food eaten outside the home count towards support?
A: Support includes all food you purchase for the child.
Q: If a child was born in December 2023, how should I answer the question: how many months did they live in the home; 12 months or one month?
A: 12 months. A child born during the year is considered to live with the taxpayer for 12 months.
Q: If a child earns enough to support themselves, but saves it all, does that mean that they did not provide more than half their support?
A: Yes, if all the money went into savings, then the child did not spend it on themselves.
Q: Can parents who never marry, and cannot agree who can claim the child, still apply the tiebreaker rule?
A: Yes, if they live together the AGI income tiebreaker rule would apply.
To learn more about determining qualifying dependents, you can watch our on-demand webinar. NATP members can attend for free, depending on membership level! If you’re not an NATP member and want to learn more, join our completely free 30-day trial at natptax.com/explore.
