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Do the mother and father have to alternate claiming the child each year on their tax returns if they have shared parental responsibility?
In general, the answer is no. The IRS only allows one person to claim a child with a unique social security number on their taxes, and get the credits that go with the exempti…on. However, there are exceptions for children of divorced or separated parents. Only one parent may claim the social security number, but the custodial parent may use the child in order to claim the head of household status, to receive the earned income credit and to receive the credit for child and dependent care expenses - even if they did not claim the exemption for the child.
What happens when both parents claim the same child in the same year on separate income tax returns?
this has happened to my husband for 10 years straight (as of this morning when we got our rejection email). If the second parent to claim the child e-files, they will get an… email from the IRS that their return has been rejected. They will then have to file via paper and snail mail, along with documentation that they are the one who gets that exemption. If the child lives with one parent more than the other, than that is the parent that can claim the child in the absence of any agreement otherwise. In my husband's divorce agreement, he is entitled to take the exemption EVERY year with no restrictions. But, every year his ex-wife files seemingly on January 1 and takes the deduction. We then have to file our return through the mail, and attach copies of his divorce agreement, and he gets the exemption. I don't know if his ex is being penalized. Honestly, she doesn't seem to be since she continues to do it year after year. My husband does eventually get the dependent claim that is rightfully his, but it takes a few months rather than a few days if his ex wasn't screwing around.
If the child lived with you for over 50% of the year (183 out of 365 days) then yes, you can claim the child as a dependent on your tax return, even if they don't live with yo…u now.
No, only the parent who has physical custody of the child for more than 50% of the tax year can claim the child.
Born anytime in the reporting year. 11:59:59 on 12/31 qualifies.
Can a step-father claim a child that is not his on his taxes so does the real father can claim his child?
According to the IRS, the only person who can claim a child as a dependent on a tax return is a relative (to include step parents, foster parents, etc) who provided custodial …support for the child for more than 50% of the year. In other words, if the child lives with you for at least 183 out of 365 days during the tax year, you can claim him/her. If the child lived with you for 182 days or less, you cannot.
What if there is no custodial parent and parents share custody evenly how do you determine who claims the child on their taxes?
You come to an agreement with each other; there is no form to sign. If you are amicable, you might give the credit to the one whose taxes most benefit. Form 8332 is if one of …you is the custodial parent of record.
Answer IRS Tax Tip 2006-14 If you gave any one person gifts in 2005 that valued at more than $11,000, you must report the total gifts to the Internal Revenu…e Service and may have to pay tax on the gifts. * ** *** **** The person who receives your gift does not have to report the gift to the IRS or pay gift or income tax on its value.**** Gifts include money and property, including the use of property without expecting to receive something of equal value in return. If you sell something at less than its value or make an interest-free or reduced-interest loan, you may be making a gift. There are some exceptions to the tax rules on gifts. The following gifts do not count against the annual limit: � Tuition or Medical Expenses that you pay directly to an educational or medical institution for someone's benefit � Gifts to your Spouse � Gifts to a Political Organization for its use � Gifts to Charities If you are married, both you and your spouse can give separate gifts of up to the annual limit to the same person without making a taxable gift. Annual Exclusion A separate annual exclusion applies to each person to whom you make a gift. For 2002, 2003, 2004 and 2005, the annual exclusion is $11,000. Therefore, you generally can give up to $11,000 each to any number of people in 2002, 2003, 2004 and 2005, and $12,000 in 2006 and none of the gifts will be taxable. If you are married, both you and your spouse can separately give up to $11,000 to the same person in 2002, 2003, 2004 or 2005 ($12,000 in 2006) without making a taxable gift. If one of you gives more than $11,000/$12,000 to a person in any one of these years, refer to gift splitting in Publication 950, Introduction to Estate and Gift Taxes. Gifts to individuals are not deductible on the donor's income tax returns.
Usually the custodial parent when all of the rules are met by the custodial parent and the qualifying child to be claimed as a QC dependent. Go to the IRS gov web site and use… the search box for Publication 17 go to chapter 3 Qualifying Child Residency Test Rule 3 Children of divorced or separated parents or parents who live apart. In most cases, because of the residency test, a child of divorced or separated parents is the qualifying child of the custodial parent. However, the child will be treated as the qualifying child of the noncustodial parent if all four of the following statements are true. Custodial parent and noncustodial parent, The custodial parent is the parent with whom the child lived for the greater number of nights during the year. The other parent is the noncustodial parent. Equal number of nights, If the child lived with each parent for an equal number of nights during the year, the custodial parent is the parent with the higher adjusted gross income. You can click on the below related link for more information and examples.
Each state has their own way of handling paternity, but in Indiana (and probably most other states) the father can petition for paternity, and then file for custody, child sup…port, and parenting time. Basically, if the father wants to be a part of his child's life - then he has a legal right to pursue paternity and secure his parental rights. You can throw up some legal roadblocks to make things more difficult for him, but you do so at the potential risk of losing some parental rights if the court finds that you have been acting maliciously. Unless you have concrete reasoning for wanting the dad out of the picture - try to rethink your approach and consider that maybe the child wants to know his/her dad. I know that this reasoning is sometimes blurred and blown out of proportion when in the midst of a custody dispute, but life will be easier for everybody involved if both parents can work together for their child. I should know since I have been the father in this type of situation. I now have joint legal custody and have my boy every single weekend.
According to the IRS, the only person who can claim a child as a dependent on a tax return is a relative (to include step parents, foster parents, etc) who provided custodial …support for the child for more than 50% of the year. In other words, if the child lives with you for at least 183 out of 365 days during the tax year, you can claim him/her. If the child lived with you for 182 days or less, you cannot. It does not matter if another parent is paying child support.
$13000 in year 2009
In the State of New York can a parent make their 17-year-old pay rent if they are claiming the minor child on their taxes?
ANSWERS: Yes. If you are working there is no reason you shouldn't pay rent just because they are your parents. No more free rides! Your p…arents are making you responsible and if you left home, worked and even went to school you would still have to pay rent. They are not doing anything illegal, but making you take responsibility before you go out into the world. Some parents realize that their children will squander the money, charge them rent and put that money into an account for their child(ren.) If your family is having tough times you should be more than willing to contribute some rent to help out. Food alone is very expensive. Marcy *I think it is totally ridiculous to expect a "CHILD" to pay their parent rent while they are still attending high school. What exactly is the job of a parent? One would think it is to provide the basic necessities of the child, that would include food, clothing and shelter. What kind of parent are you if you expect your kid to pay for things that many would think under the law you are obligated to provide. If a child moves out and requires assistance from the state you are required to pay the state support for that child until they reach 21 years old so how can it be that a child under that age would be expected to pay a parent rent? *They may be able to charge the rent from the child, which is ridiculous, but by law it is considered income to the parents and they would legally have to claim the rent as income on their tax returns. *In many states the parents of a minor are entitled to ALL wages the child earns. You are lucky they let you keep any of it. *Parents are responsible for the support of their children until they are adults or emancipated. If the parents really want the money, the employer in many states is required to send the paycheck to the parents if they request it.
If a 14 year old child works babysitting afterschool and is paid cash 1500 or less per year does he have to file taxes does his parent have to claim his income on their taxes?
A child that has only earned income of less than $5350 for 2008 does not have a filing requirement nor do you have to report his or her income on your tax return and you… can still claim him or her as a dependant. If, however, your child has other sources of "unearned" income (such as interest on a savings account, dividends, etc.) then the child may have a filing requirement. To figure out if the child with earned and unearned income has a filing requirement follow these steps: # Add $300 to the child's earned income. _______ # Minimum amount. _$850__ # Compare both amounts and enter the larger amount. _______ # Maximum Amount. _$5350_ # Compare lines 3 and 4 and enter the smaller amount. _______ # Enter the child's combined income (earned & unearned)_______ # If line 6 is more than 5 then there is a filing requirement. Hope this helps. www.irs101.blogspot.com
In Income Taxes
Who claims child on taxes when grandparents have custody of 2.5 yr old but child lives with mother full time for the past year and is being supported by mother in all regards?
With the facts given...the mother is the one that would qualify under the tests, especially the support and residence ones. Which without, the grandparents don't qualify… to claim the child in any case.
The IRS allows tax free gifts to family members. Up to $14,000 may be given to family members each year. Married people can give up to $28,000 per year.