IRS dependent question

[polanyo 0]

Once again I'm here to ask a question. My 2 daughter was born in saipan usa, Now i want to know if i can claim them on my tax return even if our daughter is living with my fiance outside US or my daughter needs to be there here. Hopefully there are someone who can give us good advice. Thanks and more power to all of the member of VJ. God Bless us all.

[calibob 73]

I don't think that you can. I think they need to be in mexico or canada before you can claim a nonresident dependent. I support my niece and am unable to claim her as a deduction. Double check the statutes and verify. Just google your question and go to the irs site. Best of luck!

Bob

[Hank_ 9,174]

This question would be better directed at an accountant that does taxes, or a tax attorney.

[MI.PI 7]

Once again I'm here to ask a question. My 2 daughter was born in saipan usa, Now i want to know if i can claim them on my tax return even if our daughter is living with my fiance outside US or my daughter needs to be there here. Hopefully there are someone who can give us good advice. Thanks and more power to all of the member of VJ. God Bless us all.

yes you can claim your US citizen children on your tax return as long as you provide more than half of the support for them. you have to have documentation of providing support for them and the children need a US SSN or ITIN. The age of the kids is another factor, they must be under 19 or a full time student under 24, or permanently disabled at any age.

[aaron2020 11,651]

You can claim your children as dependents if they share a residence with you for more than 6 months. If they did not share a residence with you for six months, then you cannot claim them as dependents.

http://www.irs.gov/newsroom/article/0,,id=133298,00.html

A “Qualifying Child”

FS-2005-7, January 2005

Uniform Definition

A “qualifying child” may enable a taxpayer to claim several tax benefits, such as head of household filing status, the exemption for a dependent, the child tax credit, the child and dependent care credit and the earned income tax credit. Prior to 2005, each of these items defined a qualifying child differently, leaving many taxpayers confused.

The Working Families Tax Relief Act of 2004 set a uniform definition of a qualifying child, beginning for Tax Year 2005. This standard definition applies to all five of the tax benefits noted above, with each benefit having some additional rules.

In general, to be a taxpayer’s qualifying child, a person must satisfy four tests:

Relationship — the taxpayer’s child or stepchild (whether by blood or adoption), foster child, sibling or stepsibling, or a descendant of one of these.

Residence — has the same principal residence as the taxpayer for more than half the tax year. Exceptions apply, in certain cases, for children of divorced or separated parents, kidnapped children, temporary absences, and for children who were born or died during the year.

Age — must be under the age of 19 at the end of the tax year, or under the age of 24 if a full-time student for at least five months of the year, or be permanently and totally disabled at any time during the year.

Support — did not provide more than one-half of his/her own support for the year.

If a child is claimed as a qualifying child by two or more taxpayers in a given year, the child will be the qualifying child of:

the parent;

if more than one taxpayer is the child’s parent, the one with whom the child lived for the longest time during the year, or, if the time was equal, the parent with the highest AGI;

if no taxpayer is the child’s parent, the taxpayer with the highest adjusted gross income (AGI).

Additional Rules

While the four qualifying child tests generally apply for the five tax benefits noted above, there are some additions or variations for particular provisions:

Dependent — a qualifying child must also meet these tests:

Nationality — be a U.S. citizen or national, or a resident of the U.S., Canada or Mexico. There is an exception for certain adopted children.

Marital status — if married, did not file a joint return for that year, unless the return is filed only as a claim for refund and no tax liability would exist for either spouse if they had filed separate returns.

Head of Household Filing Status — a qualifying child is determined without regard to the exception for children of divorced or separated parents. Also, a qualifying child who is married at the end of the year must meet the marital status and nationality tests for a dependent (above).

Credit for Child and Dependent Care Expenses — a qualifying child must be under the age of 13 or permanently and totally disabled. A qualifying child is determined without regard to the exception for children of divorced or separated parents and the exception for kidnapped children.

Child Tax Credit — a qualifying child must be under age 17 and a U.S. citizen or national or a U.S. resident.

Earned Income Tax Credit — a qualifying child does not have to meet the support test. Also, a qualifying child must have lived with the taxpayer in the United States for more than half the year and have a social security number that is valid for employment in the United States. A qualifying child is determined without regard to the exception for children of divorced or separated parents. If a qualifying child is married, he or she must also meet the marital status and nationality tests for a dependent (above).

Changes to Certain Benefits

The new law does not change the operation of the Child Tax Credit, but it does affect these benefits:

Dependent — There are two types of dependents, a qualifying child and a qualifying relative. The five dependency tests — relationship, gross income, support, joint return and citizenship/residency — continue to apply to a qualifying relative. A child who is not a qualifying child might still be a dependent as a qualifying relative. If you are a dependent of another person, you cannot claim any dependents on your own return. .

Head of Household Filing Status — A taxpayer is eligible for head of household filing status only with respect to a qualifying child or the taxpayer’s dependent. But the taxpayer cannot file as head of household for a person who is a dependent only because he or she lived with the taxpayer for the whole year or because the taxpayer may claim him or her as a dependent under a multiple support agreement.

Child Tax Credit — The taxpayer is no longer required to care for a foster child, sibling, or sibling’s descendant as one’s own child.

Credit for Child and Dependent Care Expenses — The taxpayer is no longer required to pay over half the costs of maintaining a household for the qualifying individual. But, an individual who is not a qualifying child must have the same principal residence as the taxpayer for more than half the year.

Earned Income Tax Credit — The taxpayer is no longer required to care for a foster child, sibling, or sibling’s descendant as one’s own child.

[polanyo 0]

Is this going to effect the petition?

[MI.PI 7]

You can claim your children as dependents if they share a residence with you for more than 6 months. If they did not share a residence with you for six months, then you cannot claim them as dependents.

http://www.irs.gov/newsroom/article/0,,id=133298,00.html

A “Qualifying Child”

FS-2005-7, January 2005

Uniform Definition

A “qualifying child” may enable a taxpayer to claim several tax benefits, such as head of household filing status, the exemption for a dependent, the child tax credit, the child and dependent care credit and the earned income tax credit. Prior to 2005, each of these items defined a qualifying child differently, leaving many taxpayers confused.

The Working Families Tax Relief Act of 2004 set a uniform definition of a qualifying child, beginning for Tax Year 2005. This standard definition applies to all five of the tax benefits noted above, with each benefit having some additional rules.

In general, to be a taxpayer’s qualifying child, a person must satisfy four tests:

Relationship — the taxpayer’s child or stepchild (whether by blood or adoption), foster child, sibling or stepsibling, or a descendant of one of these.

Residence — has the same principal residence as the taxpayer for more than half the tax year. Exceptions apply, in certain cases, for children of divorced or separated parents, kidnapped children, temporary absences, and for children who were born or died during the year.

Age — must be under the age of 19 at the end of the tax year, or under the age of 24 if a full-time student for at least five months of the year, or be permanently and totally disabled at any time during the year.

Support — did not provide more than one-half of his/her own support for the year.

If a child is claimed as a qualifying child by two or more taxpayers in a given year, the child will be the qualifying child of:

the parent;

if more than one taxpayer is the child’s parent, the one with whom the child lived for the longest time during the year, or, if the time was equal, the parent with the highest AGI;

if no taxpayer is the child’s parent, the taxpayer with the highest adjusted gross income (AGI).

Additional Rules

While the four qualifying child tests generally apply for the five tax benefits noted above, there are some additions or variations for particular provisions:

Dependent — a qualifying child must also meet these tests:

Nationality — be a U.S. citizen or national, or a resident of the U.S., Canada or Mexico. There is an exception for certain adopted children.

Marital status — if married, did not file a joint return for that year, unless the return is filed only as a claim for refund and no tax liability would exist for either spouse if they had filed separate returns.

Head of Household Filing Status — a qualifying child is determined without regard to the exception for children of divorced or separated parents. Also, a qualifying child who is married at the end of the year must meet the marital status and nationality tests for a dependent (above).

Credit for Child and Dependent Care Expenses — a qualifying child must be under the age of 13 or permanently and totally disabled. A qualifying child is determined without regard to the exception for children of divorced or separated parents and the exception for kidnapped children.

Child Tax Credit — a qualifying child must be under age 17 and a U.S. citizen or national or a U.S. resident.

Earned Income Tax Credit — a qualifying child does not have to meet the support test. Also, a qualifying child must have lived with the taxpayer in the United States for more than half the year and have a social security number that is valid for employment in the United States. A qualifying child is determined without regard to the exception for children of divorced or separated parents. If a qualifying child is married, he or she must also meet the marital status and nationality tests for a dependent (above).

Changes to Certain Benefits

The new law does not change the operation of the Child Tax Credit, but it does affect these benefits:

Dependent — There are two types of dependents, a qualifying child and a qualifying relative. The five dependency tests — relationship, gross income, support, joint return and citizenship/residency — continue to apply to a qualifying relative. A child who is not a qualifying child might still be a dependent as a qualifying relative. If you are a dependent of another person, you cannot claim any dependents on your own return. .

Head of Household Filing Status — A taxpayer is eligible for head of household filing status only with respect to a qualifying child or the taxpayer’s dependent. But the taxpayer cannot file as head of household for a person who is a dependent only because he or she lived with the taxpayer for the whole year or because the taxpayer may claim him or her as a dependent under a multiple support agreement.

Child Tax Credit — The taxpayer is no longer required to care for a foster child, sibling, or sibling’s descendant as one’s own child.

Credit for Child and Dependent Care Expenses — The taxpayer is no longer required to pay over half the costs of maintaining a household for the qualifying individual. But, an individual who is not a qualifying child must have the same principal residence as the taxpayer for more than half the year.

Earned Income Tax Credit — The taxpayer is no longer required to care for a foster child, sibling, or sibling’s descendant as one’s own child.

The 2 children do not meet the qualifying child test, this means that he cannot claim head of household status, claim child care credits or claim earned income credits. However, the children can meet the qualifying relative status and qualify as his dependents if he meets the support test. This would allow him to claim them as dependents and receive the dependency exemptions. Looks like he files as single with 2 dependents.

[easyriders2011 14]

yes you can claim your US citizen children on your tax return as long as you provide more than half of the support for them. you have to have documentation of providing support for them and the children need a US SSN or ITIN. The age of the kids is another factor, they must be under 19 or a full time student under 24, or permanently disabled at any age.

I had filed for an ITN number for my two step children that I support 100% but when the petition was denied by the IRS, their legal support 'team' who was helping me decipher why the petition was denied told me that the children must be in the US for you to claim them.

The reason stated was the citizenry issue. They are not LPR's nor are they USC's.

I did live in the Philippines with them for six months. Does that count???

If there is another 'truth' out there. I surely would love to hear it and how can i go about getting them an ITN number....

Edited January 25, 2012 by easyriders2011

[MI.PI 7]

I had filed for an ITN number for my two step children that I support 100% but when the petition was denied by the IRS, their legal support 'team' who was helping me decipher why the petition was denied told me that the children must be in the US for you to claim them.

The reason stated was the citizenry issue. They are not LPR's nor are they USC's.

I did live in the Philippines with them for six months. Does that count???

If there is another 'truth' out there. I surely would love to hear it and how can i go about getting them an ITN number....

Did you claim your step children as your qualifying children? If so, then the IRS is correct. They do not qualify as your qualifying children for the precise reasons they told you. However, you can claim them as qualifying relatives which entitles you for dependency exemptions for each of them. Qualifying relative status does not entitle you to claim earned income tax credit and child care credit.

Edited January 25, 2012 by MI.PI

[MI.PI 7]

Did you claim your step children as your qualifying children? If so, then the IRS is correct. They do not qualify as your qualifying children for the precise reasons they told you. However, you can claim them as qualifying relatives which entitles you for dependency exemptions for each of them. Qualifying relative status does not entitle you to claim earned income tax credit and child care credit.

for easyriders2011

sorry....disregard my earlier post...

You cannot claim them also as your qualifying relatives because they did not pass the residency test. You have to get them to the US, or legally adopt them and naturalized them as US citizens before you can claim them on your income tax return.

Edited January 25, 2012 by MI.PI