What Is A Dependent On A Tax Return And How To Claim Someone As A Dependent

What are the qualifications of a dependent for tax purposes? The following is a general explanation on how to determine dependents, and how it associates with your tax status, liability and the credits you can claim on your tax return.

There are a few assessments that a person will have to pass in order to qualify as a dependent on a U.S. tax return. To begin with, a person must be the taxpayer's child, stepchild, foster child, sibling or stepsibling, or a relative of any of these, and the individual must live at the taxpayer's residence for a period greater than 6 months of the tax year being claimed as a dependent. There are exceptions for children of divorced parents, kidnapped children, and for children who were born or died during the year.  

The person being claimed must be under the age of 19, or 24 if a full-time student. Lastly, the person must not have contributed more than one-half toward his or her own support for that year in order to qualify as a dependent on tax return. Other qualifying points contain, U.S. citizenship and single status or married filing as a single person.  

If the individual being claimed fulfills all of these requirements, then any of the applicable deductions, exemptions, and credits can be used for them. Some of these include dependent day care expenses, child tax credits, medical expenses, earned income credit, and several itemized deductions. Determining dependent claim eligibility frequently means the difference between owing money to the government and obtaining a refund from them.  

The child and dependent care expenses cover things like daycare, after school programs, private childcare services, etc. In order for a child to qualify as a dependent in order to get the child and dependent care credit, he or she must be under the age of 13.  

The child tax credit is similar to the earned income credit for the reason that it is a straight credit. Taxpayers with a qualifying dependent that is under 17 years old can only take the child tax credit.  

Determining if you have any dependents that you could claim on your annual tax return could take some work, but it can be well worth it ultimately. You might be rewarded and get a big tax refund, thanks to the credits, exemptions, and deductions that your dependent(s) can give you the chance to claim.