Frequently Asked Tax Questions And Answers
Keyword: Custodial Parent
7.1 Child Care Credit/Other Credits : Child and Dependent Care Credit & Flexible Benefit Plans
My divorce decree states that my ex-spouse can claim our daughter
as an exemption on alternate years. I am the custodial parent and pay child
care expenses. Can I claim child care expenses on the years he takes the exemption?
The Child and Dependent Care Credit can only be claimed by the custodial
parent. This is true even if you cannot claim the child's exemption because
the divorce decree allows the other parent to claim the exemption, or you
have released the exemption on Form 8332. Refer to Publication 503, Child
and Dependent Care Expenses, for a complete discussion.
References:
7.2 Child Care Credit/Other Credits : Child Tax Credit
Can a custodial parent claim the Child Tax Credit if the noncustodial
parent claims the child as a dependent due to the divorce agreement?
The custodial parent cannot claim the Child Tax Credit for a child in the
tax year that the noncustodial parent takes the exemption for that child.
Please refer to the 1040 Instruction Booklet index for the Child Tax Credit.
The referenced pages will explain who qualifies for this credit and how to
calculate it.
References:
8.1 Earned Income Tax Credit: Qualifying Child Rules
If you are single with two children who lived with you all year, but are
releasing the dependency exemption for one of your dependents via Form 8332, can both
children still be considered qualifying children for Earned Income Credit purposes?
As long as the relationship test is met, your qualifying child for the Earned Income
Credit does not need to be your dependent, unless he or she is married. For information
as to whether or not a married child is your qualifying child for earned income credit,
refer to Rule 7, Qualifying Child, in Publication 596, Earned
Income Credit.
References:
If the noncustodial parent receives permission from the custodial parent
to claim a child on his or her tax return, is the noncustodial parent eligible for
the Earned Income Credit?
The noncustodial parent cannot claim the Earned Income Credit on the basis of that
child because the child did not live with that parent and does not meet the residency
test. The custodial parent may be able to claim the Earned Income Credit.
Refer to Publication 596, Earned Income Credit, for the Earned Income
Credit rules .
References:
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