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Free tax preparation software How To Get Tax Help Table of Contents You can get help with unresolved tax issues, order free publications and forms, ask tax questions, and get more information from the IRS in several ways. Free tax preparation software By selecting the method that is best for you, you will have quick and easy access to tax help. Free tax preparation software Contacting your Taxpayer Advocate. Free tax preparation software   If you have attempted to deal with an IRS problem unsuccessfully, you should contact your Taxpayer Advocate. Free tax preparation software   The Taxpayer Advocate represents your interests and concerns within the IRS by protecting your rights and resolving problems that have not been fixed through normal channels. Free tax preparation software While Taxpayer Advocates cannot change the tax law or make a technical tax decision, they can clear up problems that resulted from previous contacts and ensure that your case is given a complete and impartial review. Free tax preparation software   To contact your Taxpayer Advocate: Call the Taxpayer Advocate at 1–877–777–4778. Free tax preparation software Call the IRS at 1–800–829–1040. Free tax preparation software Call, write, or fax the Taxpayer Advocate office in your area. Free tax preparation software Call 1–800–829–4059 if you are a TTY/TDD user. Free tax preparation software   For more information, see Publication 1546, The Taxpayer Advocate Service of the IRS. Free tax preparation software Free tax services. Free tax preparation software   To find out what services are available, get Publication 910, Guide to Free Tax Services. Free tax preparation software It contains a list of free tax publications and an index of tax topics. Free tax preparation software It also describes other free tax information services, including tax education and assistance programs and a list of TeleTax topics. Free tax preparation software Personal computer. Free tax preparation software With your personal computer and modem, you can access the IRS on the Internet at www. Free tax preparation software irs. Free tax preparation software gov. Free tax preparation software While visiting our web site, you can: Find answers to questions you may have. Free tax preparation software Download forms and publications or search for forms and publications by topic or keyword. Free tax preparation software View forms that may be filled in electronically, print the completed form, and then save the form for recordkeeping. Free tax preparation software View Internal Revenue Bulletins published in the last few years. Free tax preparation software Search regulations and the Internal Revenue Code. Free tax preparation software Receive our electronic newsletters on hot tax issues and news. Free tax preparation software Get information on starting and operating a small business. Free tax preparation software You can also reach us with your computer using File Transfer Protocol at ftp. Free tax preparation software irs. Free tax preparation software gov. Free tax preparation software TaxFax Service. Free tax preparation software Using the phone attached to your fax machine, you can receive forms and instructions by calling 703–368–9694. Free tax preparation software Follow the directions from the prompts. Free tax preparation software When you order forms, enter the catalog number for the form you need. Free tax preparation software The items you request will be faxed to you. Free tax preparation software For help with transmission problems, call the FedWorld Help Desk at 703–487–4608. Free tax preparation software Phone. Free tax preparation software Many services are available by phone. Free tax preparation software Ordering forms, instructions, and publications. Free tax preparation software Call 1–800–829–3676 to order current and prior year forms, instructions, and publications. Free tax preparation software Asking tax questions. Free tax preparation software Call the IRS with your tax questions at 1–800–829–1040. Free tax preparation software TTY/TDD equipment. Free tax preparation software If you have access to TTY/TDD equipment, call 1–800–829–4059 to ask tax questions or to order forms and publications. Free tax preparation software TeleTax topics. Free tax preparation software Call 1–800–829–4477 to listen to pre-recorded messages covering various tax topics. Free tax preparation software Evaluating the quality of our telephone services. Free tax preparation software To ensure that IRS representatives give accurate, courteous, and professional answers, we evaluate the quality of our telephone services in several ways. Free tax preparation software A second IRS representative sometimes monitors live telephone calls. Free tax preparation software That person only evaluates the IRS assistor and does not keep a record of any taxpayer's name or tax identification number. Free tax preparation software We sometimes record telephone calls to evaluate IRS assistors objectively. Free tax preparation software We hold these recordings no longer than one week and use them only to measure the quality of assistance. Free tax preparation software We value our customers' opinions. Free tax preparation software Throughout this year, we will be surveying our customers for their opinions on our service. Free tax preparation software Walk-in. Free tax preparation software You can walk in to many post offices, libraries, and IRS offices to pick up certain forms, instructions, and publications. Free tax preparation software Some IRS offices, libraries, grocery stores, copy centers, city and county governments, credit unions, and office supply stores have an extensive collection of products available to print from a CD-ROM or photocopy from reproducible proofs. Free tax preparation software Also, some IRS offices and libraries have the Internal Revenue Code, regulations, Internal Revenue Bulletins, and Cumulative Bulletins available for research purposes. Free tax preparation software Mail. Free tax preparation software You can send your order for forms, instructions, and publications to the Distribution Center nearest to you and receive a response within 10 workdays after your request is received. Free tax preparation software Find the address that applies to your part of the country. Free tax preparation software Western part of U. Free tax preparation software S. Free tax preparation software : Western Area Distribution Center Rancho Cordova, CA 95743–0001 Central part of U. Free tax preparation software S. Free tax preparation software : Central Area Distribution Center P. Free tax preparation software O. Free tax preparation software Box 8903 Bloomington, IL 61702–8903 Eastern part of U. Free tax preparation software S. Free tax preparation software and foreign addresses: Eastern Area Distribution Center P. Free tax preparation software O. Free tax preparation software Box 85074 Richmond, VA 23261–5074 CD-ROM. Free tax preparation software You can order IRS Publication 1796, Federal Tax Products on CD-ROM, and obtain: Current tax forms, instructions, and publications. Free tax preparation software Prior-year tax forms and instructions. Free tax preparation software Popular tax forms that may be filled in electronically, printed out for submission, and saved for recordkeeping. Free tax preparation software Internal Revenue Bulletins. Free tax preparation software The CD-ROM can be purchased from National Technical Information Service (NTIS) by calling 1–877–233–6767 or on the Internet at www. Free tax preparation software irs. Free tax preparation software gov. Free tax preparation software The first release is available in mid-December and the final release is available in late January. Free tax preparation software IRS Publication 3207, Small Business Resource Guide, is an interactive CD-ROM that contains information important to small businesses. Free tax preparation software It is available in mid-February. Free tax preparation software You can get a free copy by calling 1–800–829–3676 or visiting the IRS web site at www. Free tax preparation software irs. Free tax preparation software gov. 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Free tax preparation software 3. Free tax preparation software   Personal Exemptions and Dependents Table of Contents What's New Introduction Useful Items - You may want to see: ExemptionsPersonal Exemptions Exemptions for Dependents Qualifying Child Qualifying Relative Phaseout of Exemptions Social Security Numbers for DependentsBorn and died in 2013. Free tax preparation software Taxpayer identification numbers for aliens. Free tax preparation software Taxpayer identification numbers for adoptees. Free tax preparation software What's New Exemption amount. Free tax preparation software  The amount you can deduct for each exemption has increased. Free tax preparation software It was $3,800 for 2012. Free tax preparation software It is $3,900 for 2013. Free tax preparation software Exemption phaseout. Free tax preparation software  You lose at least part of the benefit of your exemptions if your adjusted gross income is more than a certain amount. Free tax preparation software For 2013, this amount is $150,000 for a married individual filing a separate return; $250,000 for a single individual; $275,000 for a head of household; and $300,000 for married individuals filing jointly or a qualifying widow(er). Free tax preparation software See Phaseout of Exemptions , later. Free tax preparation software Introduction This chapter discusses the following topics. Free tax preparation software Personal exemptions — You generally can take one for yourself and, if you are married, one for your spouse. Free tax preparation software Exemptions for dependents — You generally can take an exemption for each of your dependents. Free tax preparation software A dependent is your qualifying child or qualifying relative. Free tax preparation software If you are entitled to claim an exemption for a dependent, that dependent cannot claim a personal exemption on his or her own tax return. Free tax preparation software Phaseout of exemptions — Your deduction is reduced if your adjusted gross income is more than a certain amount. Free tax preparation software Social security number (SSN) requirement for dependents — You must list the SSN of any dependent for whom you claim an exemption. Free tax preparation software Deduction. Free tax preparation software   Exemptions reduce your taxable income. Free tax preparation software You can deduct $3,900 for each exemption you claim in 2013. Free tax preparation software But you may lose at least part of the dollar amount of your exemptions if your adjusted gross income is more than a certain amount. Free tax preparation software See Phaseout of Exemptions , later. Free tax preparation software How to claim exemptions. Free tax preparation software    How you claim an exemption on your tax return depends on which form you file. Free tax preparation software    If you file Form 1040EZ, the exemption amount is combined with the standard deduction amount and entered on line 5. Free tax preparation software    If you file Form 1040A, complete lines 6a through 6d. Free tax preparation software The total number of exemptions you can claim is the total in the box on line 6d. Free tax preparation software Also complete line 26. Free tax preparation software   If you file Form 1040, complete lines 6a through 6d. Free tax preparation software The total number of exemptions you can claim is the total in the box on line 6d. Free tax preparation software Also complete line 42. Free tax preparation software Useful Items - You may want to see: Publication 501 Exemptions, Standard Deduction, and Filing Information Form (and Instructions) 2120 Multiple Support Declaration 8332 Release/Revocation of Release of Claim to Exemption for Child by Custodial Parent Exemptions There are two types of exemptions you may be able to take: Personal exemptions for yourself and your spouse, and Exemptions for dependents (dependency exemptions). Free tax preparation software While each is worth the same amount ($3,900 for 2013), different rules apply to each type. Free tax preparation software Personal Exemptions You are generally allowed one exemption for yourself. Free tax preparation software If you are married, you may be allowed one exemption for your spouse. Free tax preparation software These are called personal exemptions. Free tax preparation software Your Own Exemption You can take one exemption for yourself unless you can be claimed as a dependent by another taxpayer. Free tax preparation software If another taxpayer is entitled to claim you as a dependent, you cannot take an exemption for yourself even if the other taxpayer does not actually claim you as a dependent. Free tax preparation software Your Spouse's Exemption Your spouse is never considered your dependent. Free tax preparation software Joint return. Free tax preparation software   On a joint return you can claim one exemption for yourself and one for your spouse. Free tax preparation software Separate return. Free tax preparation software   If you file a separate return, you can claim an exemption for your spouse only if your spouse had no gross income, is not filing a return, and was not the dependent of another taxpayer. Free tax preparation software This is true even if the other taxpayer does not actually claim your spouse as a dependent. Free tax preparation software You can claim an exemption for your spouse even if he or she is a nonresident alien; in that case, your spouse must have no gross income for U. Free tax preparation software S. Free tax preparation software tax purposes, must not be filing a return, and must not be the dependent of another taxpayer. Free tax preparation software Death of spouse. Free tax preparation software   If your spouse died during the year and you file a joint return for yourself and your deceased spouse, you generally can claim your spouse's exemption under the rules just explained in Joint return . Free tax preparation software If you file a separate return for the year, you may be able to claim your spouse's exemption under the rules just described in Separate return . Free tax preparation software   If you remarried during the year, you cannot take an exemption for your deceased spouse. Free tax preparation software   If you are a surviving spouse without gross income and you remarry in the year your spouse died, you can be claimed as an exemption on both the final separate return of your deceased spouse and the separate return of your new spouse for that year. Free tax preparation software If you file a joint return with your new spouse, you can be claimed as an exemption only on that return. Free tax preparation software Divorced or separated spouse. Free tax preparation software   If you obtained a final decree of divorce or separate maintenance during the year, you cannot take your former spouse's exemption. Free tax preparation software This rule applies even if you provided all of your former spouse's support. Free tax preparation software Exemptions for Dependents You are allowed one exemption for each person you can claim as a dependent. Free tax preparation software You can claim an exemption for a dependent even if your dependent files a return. Free tax preparation software The term “dependent” means: A qualifying child, or A qualifying relative. Free tax preparation software The terms “ qualifying child ” and “ qualifying relative ” are defined later. Free tax preparation software You can claim an exemption for a qualifying child or qualifying relative only if these three tests are met. Free tax preparation software Dependent taxpayer test. Free tax preparation software Joint return test. Free tax preparation software Citizen or resident test. Free tax preparation software These three tests are explained in detail later. Free tax preparation software All the requirements for claiming an exemption for a dependent are summarized in Table 3-1. Free tax preparation software Table 3-1. Free tax preparation software Overview of the Rules for Claiming an Exemption for a Dependent Caution. Free tax preparation software This table is only an overview of the rules. Free tax preparation software For details, see the rest of this chapter. Free tax preparation software You cannot claim any dependents if you (or your spouse, if filing jointly) could be claimed as a dependent by another taxpayer. Free tax preparation software   You cannot claim a married person who files a joint return as a dependent unless that joint return is filed only to claim a refund of withheld income tax or estimated tax paid. Free tax preparation software   You cannot claim a person as a dependent unless that person is a U. Free tax preparation software S. Free tax preparation software citizen, U. Free tax preparation software S. Free tax preparation software resident alien, U. Free tax preparation software S. Free tax preparation software national, or a resident of Canada or Mexico. Free tax preparation software 1  You cannot claim a person as a dependent unless that person is your qualifying child or qualifying relative. Free tax preparation software   Tests To Be a Qualifying Child   Tests To Be a Qualifying Relative The child must be your son, daughter, stepchild, foster child, brother, sister, half brother, half sister, stepbrother, stepsister, or a descendant of any of them. Free tax preparation software   The child must be (a) under age 19 at the end of the year and younger than you (or your spouse, if filing jointly), (b) under age 24 at the end of the year, a student, and younger than you (or your spouse, if filing jointly), or (c) any age if permanently and totally disabled. Free tax preparation software   The child must have lived with you for more than half of the year. Free tax preparation software 2  The child must not have provided more than half of his or her own support for the year. Free tax preparation software   The child is not filing a joint return for the year (unless that return is filed only to get a refund of income tax withheld or estimated tax paid). Free tax preparation software  If the child meets the rules to be a qualifying child of more than one person, only one person can actually treat the child as a qualifying child. Free tax preparation software See the Special Rule for Qualifying Child of More Than One Person to find out which person is the person entitled to claim the child as a qualifying child. Free tax preparation software   The person cannot be your qualifying child or the qualifying child of any other taxpayer. Free tax preparation software   The person either (a) must be related to you in one of the ways listed under Relatives who do not have to live with you , or (b) must live with you all year as a member of your household2 (and your relationship must not violate local law). Free tax preparation software   The person's gross income for the year must be less than $3,900. Free tax preparation software 3  You must provide more than half of the person's total support for the year. Free tax preparation software 4  1There is an exception for certain adopted children. Free tax preparation software 2There are exceptions for temporary absences, children who were born or died during the year, children of divorced or separated parents (or parents who live apart), and kidnapped children. Free tax preparation software 3There is an exception if the person is disabled and has income from a sheltered workshop. Free tax preparation software 4There are exceptions for multiple support agreements, children of divorced or separated parents (or parents who live apart), and kidnapped children. Free tax preparation software Dependent not allowed a personal exemption. Free tax preparation software If you can claim an exemption for your dependent, the dependent cannot claim his or her own personal exemption on his or her own tax return. Free tax preparation software This is true even if you do not claim the dependent's exemption on your return. Free tax preparation software It is also true if the dependent's exemption on your return is reduced or eliminated under the phaseout rule described under Phaseout of Exemptions, later. Free tax preparation software Housekeepers, maids, or servants. Free tax preparation software   If these people work for you, you cannot claim exemptions for them. Free tax preparation software Child tax credit. Free tax preparation software   You may be entitled to a child tax credit for each qualifying child who was under age 17 at the end of the year if you claimed an exemption for that child. Free tax preparation software For more information, see chapter 34. Free tax preparation software Dependent Taxpayer Test If you can be claimed as a dependent by another person, you cannot claim anyone else as a dependent. Free tax preparation software Even if you have a qualifying child or qualifying relative, you cannot claim that person as a dependent. Free tax preparation software If you are filing a joint return and your spouse can be claimed as a dependent by someone else, you and your spouse cannot claim any dependents on your joint return. Free tax preparation software Joint Return Test You generally cannot claim a married person as a dependent if he or she files a joint return. Free tax preparation software Exception. Free tax preparation software   You can claim an exemption for a person who files a joint return if that person and his or her spouse file the joint return only to claim a refund of income tax withheld or estimated tax paid. Free tax preparation software Example 1—child files joint return. Free tax preparation software You supported your 18-year-old daughter, and she lived with you all year while her husband was in the Armed Forces. Free tax preparation software He earned $25,000 for the year. Free tax preparation software The couple files a joint return. Free tax preparation software You cannot take an exemption for your daughter. Free tax preparation software Example 2—child files joint return only as claim for refund of withheld tax. Free tax preparation software Your 18-year-old son and his 17-year-old wife had $800 of wages from part-time jobs and no other income. Free tax preparation software Neither is required to file a tax return. Free tax preparation software They do not have a child. Free tax preparation software Taxes were taken out of their pay so they filed a joint return only to get a refund of the withheld taxes. Free tax preparation software The exception to the joint return test applies, so you are not disqualified from claiming an exemption for each of them just because they file a joint return. Free tax preparation software You can claim exemptions for each of them if all the other tests to do so are met. Free tax preparation software Example 3—child files joint return to claim American opportunity credit. Free tax preparation software The facts are the same as in Example 2 except no taxes were taken out of your son's pay. Free tax preparation software He and his wife are not required to file a tax return. Free tax preparation software However, they file a joint return to claim an American opportunity credit of $124 and get a refund of that amount. Free tax preparation software Because claiming the American opportunity credit is their reason for filing the return, they are not filing it only to get a refund of income tax withheld or estimated tax paid. Free tax preparation software The exception to the joint return test does not apply, so you cannot claim an exemption for either of them. Free tax preparation software Citizen or Resident Test You cannot claim a person as a dependent unless that person is a U. Free tax preparation software S. Free tax preparation software citizen, U. Free tax preparation software S. Free tax preparation software resident alien, U. Free tax preparation software S. Free tax preparation software national, or a resident of Canada or Mexico. Free tax preparation software However, there is an exception for certain adopted children, as explained next. Free tax preparation software Exception for adopted child. Free tax preparation software   If you are a U. Free tax preparation software S. Free tax preparation software citizen or U. Free tax preparation software S. Free tax preparation software national who has legally adopted a child who is not a U. Free tax preparation software S. Free tax preparation software citizen, U. Free tax preparation software S. Free tax preparation software resident alien, or U. Free tax preparation software S. Free tax preparation software national, this test is met if the child lived with you as a member of your household all year. Free tax preparation software This exception also applies if the child was lawfully placed with you for legal adoption. Free tax preparation software Child's place of residence. Free tax preparation software   Children usually are citizens or residents of the country of their parents. Free tax preparation software   If you were a U. Free tax preparation software S. Free tax preparation software citizen when your child was born, the child may be a U. Free tax preparation software S. Free tax preparation software citizen and meet this test even if the other parent was a nonresident alien and the child was born in a foreign country. Free tax preparation software Foreign students' place of residence. Free tax preparation software   Foreign students brought to this country under a qualified international education exchange program and placed in American homes for a temporary period generally are not U. Free tax preparation software S. Free tax preparation software residents and do not meet this test. Free tax preparation software You cannot claim an exemption for them. Free tax preparation software However, if you provided a home for a foreign student, you may be able to take a charitable contribution deduction. Free tax preparation software See Expenses Paid for Student Living With You in chapter 24. Free tax preparation software U. Free tax preparation software S. Free tax preparation software national. Free tax preparation software   A U. Free tax preparation software S. Free tax preparation software national is an individual who, although not a U. Free tax preparation software S. Free tax preparation software citizen, owes his or her allegiance to the United States. Free tax preparation software U. Free tax preparation software S. Free tax preparation software nationals include American Samoans and Northern Mariana Islanders who chose to become U. Free tax preparation software S. Free tax preparation software nationals instead of U. Free tax preparation software S. Free tax preparation software citizens. Free tax preparation software Qualifying Child Five tests must be met for a child to be your qualifying child. Free tax preparation software The five tests are: Relationship, Age, Residency, Support, and Joint return. Free tax preparation software These tests are explained next. Free tax preparation software If a child meets the five tests to be the qualifying child of more than one person, a special rule applies to determine which person can actually treat the child as a qualifying child. Free tax preparation software See Special Rule for Qualifying Child of More Than One Person, later. Free tax preparation software Relationship Test To meet this test, a child must be: Your son, daughter, stepchild, foster child, or a descendant (for example, your grandchild) of any of them, or Your brother, sister, half brother, half sister, stepbrother, stepsister, or a descendant (for example, your niece or nephew) of any of them. Free tax preparation software Adopted child. Free tax preparation software   An adopted child is always treated as your own child. Free tax preparation software The term “adopted child” includes a child who was lawfully placed with you for legal adoption. Free tax preparation software Foster child. Free tax preparation software   A foster child is an individual who is placed with you by an authorized placement agency or by judgment, decree, or other order of any court of competent jurisdiction. Free tax preparation software Age Test To meet this test, a child must be: Under age 19 at the end of the year and younger than you (or your spouse, if filing jointly), A student under age 24 at the end of the year and younger than you (or your spouse, if filing jointly), or Permanently and totally disabled at any time during the year, regardless of age. Free tax preparation software Example. Free tax preparation software Your son turned 19 on December 10. Free tax preparation software Unless he was permanently and totally disabled or a student, he does not meet the age test because, at the end of the year, he was not under age 19. Free tax preparation software Child must be younger than you or spouse. Free tax preparation software   To be your qualifying child, a child who is not permanently and totally disabled must be younger than you. Free tax preparation software However, if you are married filing jointly, the child must be younger than you or your spouse but does not have to be younger than both of you. Free tax preparation software Example 1—child not younger than you or spouse. Free tax preparation software Your 23-year-old brother, who is a student and unmarried, lives with you and your spouse. Free tax preparation software He is not disabled. Free tax preparation software Both you and your spouse are 21 years old, and you file a joint return. Free tax preparation software Your brother is not your qualifying child because he is not younger than you or your spouse. Free tax preparation software Example 2—child younger than your spouse but not younger than you. Free tax preparation software The facts are the same as in Example 1 except your spouse is 25 years old. Free tax preparation software Because your brother is younger than your spouse, and you and your spouse are filing a joint return, your brother is your qualifying child, even though he is not younger than you. Free tax preparation software Student defined. Free tax preparation software   To qualify as a student, your child must be, during some part of each of any 5 calendar months of the year: A full-time student at a school that has a regular teaching staff, course of study, and a regularly enrolled student body at the school, or A student taking a full-time, on-farm training course given by a school described in (1), or by a state, county, or local government agency. Free tax preparation software The 5 calendar months do not have to be consecutive. Free tax preparation software Full-time student. Free tax preparation software   A full-time student is a student who is enrolled for the number of hours or courses the school considers to be full-time attendance. Free tax preparation software School defined. Free tax preparation software   A school can be an elementary school, junior or senior high school, college, university, or technical, trade, or mechanical school. Free tax preparation software However, an on-the-job training course, correspondence school, or school offering courses only through the Internet does not count as a school. Free tax preparation software Vocational high school students. Free tax preparation software   Students who work on “co-op” jobs in private industry as a part of a school's regular course of classroom and practical training are considered full-time students. Free tax preparation software Permanently and totally disabled. Free tax preparation software   Your child is permanently and totally disabled if both of the following apply. Free tax preparation software He or she cannot engage in any substantial gainful activity because of a physical or mental condition. Free tax preparation software A doctor determines the condition has lasted or can be expected to last continuously for at least a year or can lead to death. Free tax preparation software Residency Test To meet this test, your child must have lived with you for more than half the year. Free tax preparation software There are exceptions for temporary absences, children who were born or died during the year, kidnapped children, and children of divorced or separated parents. Free tax preparation software Temporary absences. Free tax preparation software   Your child is considered to have lived with you during periods of time when one of you, or both, are temporarily absent due to special circumstances such as: Illness, Education, Business, Vacation, or Military service. Free tax preparation software Your child is also considered to have lived with you during any required hospital stay following birth, as long as the child would have lived with you during that time but for the hospitalization. Free tax preparation software Death or birth of child. Free tax preparation software   A child who was born or died during the year is treated as having lived with you more than half of the year if your home was the child's home more than half of the time he or she was alive during the year. Free tax preparation software Child born alive. Free tax preparation software   You may be able to claim an exemption for a child born alive during the year, even if the child lived only for a moment. Free tax preparation software State or local law must treat the child as having been born alive. Free tax preparation software There must be proof of a live birth shown by an official document, such as a birth certificate. Free tax preparation software The child must be your qualifying child or qualifying relative, and all the other tests to claim an exemption for a dependent must be met. Free tax preparation software Stillborn child. Free tax preparation software   You cannot claim an exemption for a stillborn child. Free tax preparation software Kidnapped child. Free tax preparation software   You may be able to treat your child as meeting the residency test even if the child has been kidnapped. Free tax preparation software See Publication 501 for details. Free tax preparation software Children of divorced or separated parents (or parents who live apart). Free tax preparation software   In most cases, because of the residency test, a child of divorced or separated parents is the qualifying child of the custodial parent. Free tax preparation software However, the child will be treated as the qualifying child of the noncustodial parent if all four of the following statements are true. Free tax preparation software The parents: Are divorced or legally separated under a decree of divorce or separate maintenance, Are separated under a written separation agreement, or Lived apart at all times during the last 6 months of the year, whether or not they are or were married. Free tax preparation software The child received over half of his or her support for the year from the parents. Free tax preparation software The child is in the custody of one or both parents for more than half of the year. Free tax preparation software Either of the following statements is true. Free tax preparation software The custodial parent signs a written declaration, discussed later, that he or she will not claim the child as a dependent for the year, and the noncustodial parent attaches this written declaration to his or her return. Free tax preparation software (If the decree or agreement went into effect after 1984 and before 2009, see Post-1984 and pre-2009 divorce decree or separation agreement , later. Free tax preparation software If the decree or agreement went into effect after 2008, see Post-2008 divorce decree or separation agreement , later. Free tax preparation software ) A pre-1985 decree of divorce or separate maintenance or written separation agreement that applies to 2013 states that the noncustodial parent can claim the child as a dependent, the decree or agreement was not changed after 1984 to say the noncustodial parent cannot claim the child as a dependent, and the noncustodial parent provides at least $600 for the child's support during the year. Free tax preparation software Custodial parent and noncustodial parent. Free tax preparation software   The custodial parent is the parent with whom the child lived for the greater number of nights during the year. Free tax preparation software The other parent is the noncustodial parent. Free tax preparation software   If the parents divorced or separated during the year and the child lived with both parents before the separation, the custodial parent is the one with whom the child lived for the greater number of nights during the rest of the year. Free tax preparation software   A child is treated as living with a parent for a night if the child sleeps: At that parent's home, whether or not the parent is present, or In the company of the parent, when the child does not sleep at a parent's home (for example, the parent and child are on vacation together). Free tax preparation software Equal number of nights. Free tax preparation software   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 (AGI). Free tax preparation software December 31. Free tax preparation software   The night of December 31 is treated as part of the year in which it begins. Free tax preparation software For example, December 31, 2013, is treated as part of 2013. Free tax preparation software Emancipated child. Free tax preparation software   If a child is emancipated under state law, the child is treated as not living with either parent. Free tax preparation software See Examples 5 and 6. Free tax preparation software Absences. Free tax preparation software   If a child was not with either parent on a particular night (because, for example, the child was staying at a friend's house), the child is treated as living with the parent with whom the child normally would have lived for that night, except for the absence. Free tax preparation software But if it cannot be determined with which parent the child normally would have lived or if the child would not have lived with either parent that night, the child is treated as not living with either parent that night. Free tax preparation software Parent works at night. Free tax preparation software   If, due to a parent's nighttime work schedule, a child lives for a greater number of days, but not nights, with the parent who works at night, that parent is treated as the custodial parent. Free tax preparation software On a school day, the child is treated as living at the primary residence registered with the school. Free tax preparation software Example 1—child lived with one parent for a greater number of nights. Free tax preparation software You and your child’s other parent are divorced. Free tax preparation software In 2013, your child lived with you 210 nights and with the other parent 155 nights. Free tax preparation software You are the custodial parent. Free tax preparation software Example 2—child is away at camp. Free tax preparation software In 2013, your daughter lives with each parent for alternate weeks. Free tax preparation software In the summer, she spends 6 weeks at summer camp. Free tax preparation software During the time she is at camp, she is treated as living with you for 3 weeks and with her other parent, your ex-spouse, for 3 weeks because this is how long she would have lived with each parent if she had not attended summer camp. Free tax preparation software Example 3—child lived same number of nights with each parent. Free tax preparation software Your son lived with you 180 nights during the year and lived the same number of nights with his other parent, your ex-spouse. Free tax preparation software Your AGI is $40,000. Free tax preparation software Your ex-spouse's AGI is $25,000. Free tax preparation software You are treated as your son's custodial parent because you have the higher AGI. Free tax preparation software Example 4—child is at parent’s home but with other parent. Free tax preparation software Your son normally lives with you during the week and with his other parent, your ex-spouse, every other weekend. Free tax preparation software You become ill and are hospitalized. Free tax preparation software The other parent lives in your home with your son for 10 consecutive days while you are in the hospital. Free tax preparation software Your son is treated as living with you during this 10-day period because he was living in your home. Free tax preparation software Example 5—child emancipated in May. Free tax preparation software When your son turned age 18 in May 2013, he became emancipated under the law of the state where he lives. Free tax preparation software As a result, he is not considered in the custody of his parents for more than half of the year. Free tax preparation software The special rule for children of divorced or separated parents does not apply. Free tax preparation software Example 6—child emancipated in August. Free tax preparation software Your daughter lives with you from January 1, 2013, until May 31, 2013, and lives with her other parent, your ex-spouse, from June 1, 2013, through the end of the year. Free tax preparation software She turns 18 and is emancipated under state law on August 1, 2013. Free tax preparation software Because she is treated as not living with either parent beginning on August 1, she is treated as living with you the greater number of nights in 2013. Free tax preparation software You are the custodial parent. Free tax preparation software Written declaration. Free tax preparation software    The custodial parent may use either Form 8332 or a similar statement (containing the same information required by the form) to make the written declaration to release the exemption to the noncustodial parent. Free tax preparation software The noncustodial parent must attach a copy of the form or statement to his or her tax return. Free tax preparation software   The exemption can be released for 1 year, for a number of specified years (for example, alternate years), or for all future years, as specified in the declaration. Free tax preparation software Post-1984 and pre-2009 divorce decree or separation agreement. Free tax preparation software   If the divorce decree or separation agreement went into effect after 1984 and before 2009, the noncustodial parent may be able to attach certain pages from the decree or agreement instead of Form 8332. Free tax preparation software The decree or agreement must state all three of the following. Free tax preparation software The noncustodial parent can claim the child as a dependent without regard to any condition, such as payment of support. Free tax preparation software The custodial parent will not claim the child as a dependent for the year. Free tax preparation software The years for which the noncustodial parent, rather than the custodial parent, can claim the child as a dependent. Free tax preparation software   The noncustodial parent must attach all of the following pages of the decree or agreement to his or her tax return. Free tax preparation software The cover page (write the other parent's social security number on this page). Free tax preparation software The pages that include all of the information identified in items (1) through (3) above. Free tax preparation software The signature page with the other parent's signature and the date of the agreement. Free tax preparation software Post-2008 divorce decree or separation agreement. Free tax preparation software   The noncustodial parent cannot attach pages from the decree or agreement instead of Form 8332 if the decree or agreement went into effect after 2008. Free tax preparation software The custodial parent must sign either Form 8332 or a similar statement whose only purpose is to release the custodial parent's claim to an exemption for a child, and the noncustodial parent must attach a copy to his or her return. Free tax preparation software The form or statement must release the custodial parent's claim to the child without any conditions. Free tax preparation software For example, the release must not depend on the noncustodial parent paying support. Free tax preparation software    The noncustodial parent must attach the required information even if it was filed with a return in an earlier year. Free tax preparation software Revocation of release of claim to an exemption. Free tax preparation software   The custodial parent can revoke a release of claim to exemption that he or she previously released to the noncustodial parent on Form 8332 (or a similar statement). Free tax preparation software For the revocation to be effective for 2013, the custodial parent must have given (or made reasonable efforts to give) written notice of the revocation to the noncustodial parent in 2012 or earlier. Free tax preparation software The custodial parent can use Part III of Form 8332 for this purpose and must attach a copy of the revocation to his or her return for each tax year he or she claims the child as a dependent as a result of the revocation. Free tax preparation software Remarried parent. Free tax preparation software   If you remarry, the support provided by your new spouse is treated as provided by you. Free tax preparation software Parents who never married. Free tax preparation software   This special rule for divorced or separated parents also applies to parents who never married, and who lived apart at all times during the last 6 months of the year. Free tax preparation software Support Test (To Be a Qualifying Child) To meet this test, the child cannot have provided more than half of his or her own support for the year. Free tax preparation software This test is different from the support test to be a qualifying relative, which is described later. Free tax preparation software However, to see what is or is not support, see Support Test (To Be a Qualifying Relative) , later. Free tax preparation software If you are not sure whether a child provided more than half of his or her own support, you may find Worksheet 3-1 helpful. Free tax preparation software Worksheet 3-1. Free tax preparation software Worksheet for Determining Support Funds Belonging to the Person You Supported       1. Free tax preparation software Enter the total funds belonging to the person you supported, including income received (taxable and nontaxable) and amounts borrowed during the year, plus the amount in savings and other accounts at the beginning of the year. Free tax preparation software Do not include funds provided by the state; include those amounts on line 23 instead 1. Free tax preparation software     2. Free tax preparation software Enter the amount on line 1 that was used for the person's support 2. Free tax preparation software     3. Free tax preparation software Enter the amount on line 1 that was used for other purposes 3. Free tax preparation software     4. Free tax preparation software Enter the total amount in the person's savings and other accounts at the end of the year 4. Free tax preparation software     5. Free tax preparation software Add lines 2 through 4. Free tax preparation software (This amount should equal line 1. Free tax preparation software ) 5. Free tax preparation software     Expenses for Entire Household (where the person you supported lived)       6. Free tax preparation software Lodging (complete line 6a or 6b):         a. Free tax preparation software Enter the total rent paid 6a. Free tax preparation software       b. Free tax preparation software Enter the fair rental value of the home. Free tax preparation software If the person you supported owned the home,  also include this amount in line 21 6b. Free tax preparation software     7. Free tax preparation software Enter the total food expenses 7. Free tax preparation software     8. Free tax preparation software Enter the total amount of utilities (heat, light, water, etc. Free tax preparation software not included in line 6a or 6b) 8. Free tax preparation software     9. Free tax preparation software Enter the total amount of repairs (not included in line 6a or 6b) 9. Free tax preparation software     10. Free tax preparation software Enter the total of other expenses. Free tax preparation software Do not include expenses of maintaining the home, such as mortgage interest, real estate taxes, and insurance 10. Free tax preparation software     11. Free tax preparation software Add lines 6a through 10. Free tax preparation software These are the total household expenses 11. Free tax preparation software     12. Free tax preparation software Enter total number of persons who lived in the household 12. Free tax preparation software     Expenses for the Person You Supported       13. Free tax preparation software Divide line 11 by line 12. Free tax preparation software This is the person's share of the household expenses 13. Free tax preparation software     14. Free tax preparation software Enter the person's total clothing expenses 14. Free tax preparation software     15. Free tax preparation software Enter the person's total education expenses 15. Free tax preparation software     16. Free tax preparation software Enter the person's total medical and dental expenses not paid for or reimbursed by insurance 16. Free tax preparation software     17. Free tax preparation software Enter the person's total travel and recreation expenses 17. Free tax preparation software     18. Free tax preparation software Enter the total of the person's other expenses 18. Free tax preparation software     19. Free tax preparation software Add lines 13 through 18. Free tax preparation software This is the total cost of the person's support for the year 19. Free tax preparation software     Did the Person Provide More Than Half of His or Her Own Support?       20. Free tax preparation software Multiply line 19 by 50% (. Free tax preparation software 50) 20. Free tax preparation software     21. Free tax preparation software Enter the amount from line 2, plus the amount from line 6b if the person you supported owned  the home. Free tax preparation software This is the amount the person provided for his or her own support 21. Free tax preparation software     22. Free tax preparation software Is line 21 more than line 20?   No. Free tax preparation software You meet the support test for this person to be your qualifying child. Free tax preparation software If this person also meets the other tests to be a qualifying child, stop here; do not complete lines 23–26. Free tax preparation software Otherwise, go to line 23 and fill out the rest of the worksheet to determine if this person is your qualifying relative. Free tax preparation software    Yes. Free tax preparation software You do not meet the support test for this person to be either your qualifying child or your qualifying relative. Free tax preparation software Stop here. Free tax preparation software        Did You Provide More Than Half?       23. Free tax preparation software Enter the amount others provided for the person's support. Free tax preparation software Include amounts provided by state, local, and other welfare societies or agencies. Free tax preparation software Do not include any amounts included on line 1 23. Free tax preparation software     24. Free tax preparation software Add lines 21 and 23 24. Free tax preparation software     25. Free tax preparation software Subtract line 24 from line 19. Free tax preparation software This is the amount you provided for the person's support 25. Free tax preparation software     26. Free tax preparation software Is line 25 more than line 20?   Yes. Free tax preparation software You meet the support test for this person to be your qualifying relative. Free tax preparation software    No. Free tax preparation software You do not meet the support test for this person to be your qualifying relative. Free tax preparation software You cannot claim an exemption for this person unless you can do so under a multiple support agreement, the support test for children of divorced or separated parents, or the special rule for kidnapped children. Free tax preparation software See Multiple Support Agreement or Support Test for Children of Divorced or Separated Parents (or Parents Who Live Apart) , or Kidnapped child under Qualifying Relative. Free tax preparation software   Example. Free tax preparation software You provided $4,000 toward your 16-year-old son's support for the year. Free tax preparation software He has a part-time job and provided $6,000 to his own support. Free tax preparation software He provided more than half of his own support for the year. Free tax preparation software He is not your qualifying child. Free tax preparation software Foster care payments and expenses. Free tax preparation software   Payments you receive for the support of a foster child from a child placement agency are considered support provided by the agency. Free tax preparation software Similarly, payments you receive for the support of a foster child from a state or county are considered support provided by the state or county. Free tax preparation software   If you are not in the trade or business of providing foster care and your unreimbursed out-of-pocket expenses in caring for a foster child were mainly to benefit an organization qualified to receive deductible charitable contributions, the expenses are deductible as charitable contributions but are not considered support you provided. Free tax preparation software For more information about the deduction for charitable contributions, see chapter 24. Free tax preparation software If your unreimbursed expenses are not deductible as charitable contributions, they may qualify as support you provided. Free tax preparation software   If you are in the trade or business of providing foster care, your unreimbursed expenses are not considered support provided by you. Free tax preparation software Example 1. Free tax preparation software Lauren, a foster child, lived with Mr. Free tax preparation software and Mrs. Free tax preparation software Smith for the last 3 months of the year. Free tax preparation software The Smiths cared for Lauren because they wanted to adopt her (although she had not been placed with them for adoption). Free tax preparation software They did not care for her as a trade or business or to benefit the agency that placed her in their home. Free tax preparation software The Smiths' unreimbursed expenses are not deductible as charitable contributions but are considered support they provided for Lauren. Free tax preparation software Example 2. Free tax preparation software You provided $3,000 toward your 10-year-old foster child's support for the year. Free tax preparation software The state government provided $4,000, which is considered support provided by the state, not by the child. Free tax preparation software See Support provided by the state (welfare, food stamps, housing, etc. Free tax preparation software ) , later. Free tax preparation software Your foster child did not provide more than half of her own support for the year. Free tax preparation software Scholarships. Free tax preparation software   A scholarship received by a child who is a student is not taken into account in determining whether the child provided more than half of his or her own support. Free tax preparation software Joint Return Test (To Be a Qualifying Child) To meet this test, the child cannot file a joint return for the year. Free tax preparation software Exception. Free tax preparation software   An exception to the joint return test applies if your child and his or her spouse file a joint return only to claim a refund of income tax withheld or estimated tax paid. Free tax preparation software Example 1—child files joint return. Free tax preparation software You supported your 18-year-old daughter, and she lived with you all year while her husband was in the Armed Forces. Free tax preparation software He earned $25,000 for the year. Free tax preparation software The couple files a joint return. Free tax preparation software Because your daughter and her husband file a joint return, she is not your qualifying child. Free tax preparation software Example 2—child files joint return only as a claim for refund of withheld tax. Free tax preparation software Your 18-year-old son and his 17-year-old wife had $800 of wages from part-time jobs and no other income. Free tax preparation software Neither is required to file a tax return. Free tax preparation software They do not have a child. Free tax preparation software Taxes were taken out of their pay so they filed a joint return only to get a refund of the withheld taxes. Free tax preparation software The exception to the joint return test applies, so your son may be your qualifying child if all the other tests are met. Free tax preparation software Example 3—child files joint return to claim American opportunity credit. Free tax preparation software The facts are the same as in Example 2 except no taxes were taken out of your son's pay. Free tax preparation software He and his wife were not required to file a tax return. Free tax preparation software However, they file a joint return to claim an American opportunity credit of $124 and get a refund of that amount. Free tax preparation software Because claiming the American opportunity credit is their reason for filing the return, they are not filing it only to get a refund of income tax withheld or estimated tax paid. Free tax preparation software The exception to the joint return test does not apply, so your son is not your qualifying child. Free tax preparation software Special Rule for Qualifying Child of More Than One Person If your qualifying child is not a qualifying child of anyone else, this special rule does not apply to you and you do not need to read about it. Free tax preparation software This is also true if your qualifying child is not a qualifying child of anyone else except your spouse with whom you file a joint return. Free tax preparation software If a child is treated as the qualifying child of the noncustodial parent under the rules for children of divorced or separated parents (or parents who live apart) described earlier, see Applying this special rule to divorced or separated parents (or parents who live apart), later. Free tax preparation software Sometimes, a child meets the relationship, age, residency, support, and joint return tests to be a qualifying child of more than one person. Free tax preparation software Although the child is a qualifying child of each of these persons, only one person can actually treat the child as a qualifying child to take all of the following tax benefits (provided the person is eligible for each benefit). Free tax preparation software The exemption for the child. Free tax preparation software The child tax credit. Free tax preparation software Head of household filing status. Free tax preparation software The credit for child and dependent care expenses. Free tax preparation software The exclusion from income for dependent care benefits. Free tax preparation software The earned income credit. Free tax preparation software The other person cannot take any of these benefits based on this qualifying child. Free tax preparation software In other words, you and the other person cannot agree to divide these benefits between you. Free tax preparation software The other person cannot take any of these tax benefits for a child unless he or she has a different qualifying child. Free tax preparation software Tiebreaker rules. Free tax preparation software   To determine which person can treat the child as a qualifying child to claim these six tax benefits, the following tiebreaker rules apply. Free tax preparation software If only one of the persons is the child's parent, the child is treated as the qualifying child of the parent. Free tax preparation software If the parents file a joint return together and can claim the child as a qualifying child, the child is treated as the qualifying child of the parents. Free tax preparation software If the parents do not file a joint return together but both parents claim the child as a qualifying child, the IRS will treat the child as the qualifying child of the parent with whom the child lived for the longer period of time during the year. Free tax preparation software If the child lived with each parent for the same amount of time, the IRS will treat the child as the qualifying child of the parent who had the higher adjusted gross income (AGI) for the year. Free tax preparation software If no parent can claim the child as a qualifying child, the child is treated as the qualifying child of the person who had the highest AGI for the year. Free tax preparation software If a parent can claim the child as a qualifying child but no parent does so claim the child, the child is treated as the qualifying child of the person who had the highest AGI for the year, but only if that person's AGI is higher than the highest AGI of any of the child's parents who can claim the child. Free tax preparation software If the child's parents file a joint return with each other, this rule can be applied by dividing the parents' combined AGI equally between the parents. Free tax preparation software See Example 6 . Free tax preparation software   Subject to these tiebreaker rules, you and the other person may be able to choose which of you claims the child as a qualifying child. Free tax preparation software Example 1—child lived with parent and grandparent. Free tax preparation software You and your 3-year-old daughter Jane lived with your mother all year. Free tax preparation software You are 25 years old, unmarried, and your AGI is $9,000. Free tax preparation software Your mother's AGI is $15,000. Free tax preparation software Jane's father did not live with you or your daughter. Free tax preparation software You have not signed Form 8332 (or a similar statement) to release the child's exemption to the noncustodial parent. Free tax preparation software Jane is a qualifying child of both you and your mother because she meets the relationship, age, residency, support, and joint return tests for both you and your mother. Free tax preparation software However, only one of you can claim her. Free tax preparation software Jane is not a qualifying child of anyone else, including her father. Free tax preparation software You agree to let your mother claim Jane. Free tax preparation software This means your mother can claim Jane as a qualifying child for all of the six tax benefits listed earlier, if she qualifies (and if you do not claim Jane as a qualifying child for any of those tax benefits). Free tax preparation software Example 2—parent has higher AGI than grandparent. Free tax preparation software The facts are the same as in Example 1 except your AGI is $18,000. Free tax preparation software Because your mother's AGI is not higher than yours, she cannot claim Jane. Free tax preparation software Only you can claim Jane. Free tax preparation software Example 3—two persons claim same child. Free tax preparation software The facts are the same as in Example 1 except that you and your mother both claim Jane as a qualifying child. Free tax preparation software In this case, you, as the child's parent, will be the only one allowed to claim Jane as a qualifying child. Free tax preparation software The IRS will disallow your mother's claim to the six tax benefits listed earlier unless she has another qualifying child. Free tax preparation software Example 4—qualifying children split between two persons. Free tax preparation software The facts are the same as in Example 1 except you also have two other young children who are qualifying children of both you and your mother. Free tax preparation software Only one of you can claim each child. Free tax preparation software However, if your mother's AGI is higher than yours, you can allow your mother to claim one or more of the children. Free tax preparation software For example, if you claim one child, your mother can claim the other two. Free tax preparation software Example 5—taxpayer who is a qualifying child. Free tax preparation software The facts are the same as in Example 1 except you are only 18 years old and did not provide more than half of your own support for the year. Free tax preparation software This means you are your mother's qualifying child. Free tax preparation software If she can claim you as a dependent, then you cannot claim your daughter as a dependent because of the Dependent Taxpayer Test explained earlier. Free tax preparation software Example 6—child lived with both parents and grandparent. Free tax preparation software The facts are the same as in Example 1 except you are married to your daughter's father. Free tax preparation software The two of you live together with your daughter and your mother, and have an AGI of $20,000 on a joint return. Free tax preparation software If you and your husband do not claim your daughter as a qualifying child, your mother can claim her instead. Free tax preparation software Even though the AGI on your joint return, $20,000, is more than your mother's AGI of $15,000, for this purpose each parent's AGI can be treated as $10,000, so your mother's $15,000 AGI is treated as higher than the highest AGI of any of the child's parents who can claim the child. Free tax preparation software Example 7—separated parents. Free tax preparation software You, your husband, and your 10-year-old son lived together until August 1, 2013, when your husband moved out of the household. Free tax preparation software In August and September, your son lived with you. Free tax preparation software For the rest of the year, your son lived with your husband, the boy's father. Free tax preparation software Your son is a qualifying child of both you and your husband because your son lived with each of you for more than half the year and because he met the relationship, age, support, and joint return tests for both of you. Free tax preparation software At the end of the year, you and your husband still were not divorced, legally separated, or separated under a written separation agreement, so the rule for children of divorced or separated parents (or parents who live apart) does not apply. Free tax preparation software You and your husband will file separate returns. Free tax preparation software Your husband agrees to let you treat your son as a qualifying child. Free tax preparation software This means, if your husband does not claim your son as a qualifying child, you can claim your son as a qualifying child for the dependency exemption, child tax credit, and exclusion for dependent care benefits (if you qualify for each of those tax benefits). Free tax preparation software However, you cannot claim head of household filing status because you and your husband did not live apart for the last 6 months of the year. Free tax preparation software As a result, your filing status is married filing separately, so you cannot claim the earned income credit or the credit for child and dependent care expenses. Free tax preparation software Example 8—separated parents claim same child. Free tax preparation software The facts are the same as in Example 7 except that you and your husband both claim your son as a qualifying child. Free tax preparation software In this case, only your husband will be allowed to treat your son as a qualifying child. Free tax preparation software This is because, during 2013, the boy lived with him longer than with you. Free tax preparation software If you claimed an exemption or the child tax credit for your son, the IRS will disallow your claim to both these tax benefits. Free tax preparation software If you do not have another qualifying child or dependent, the IRS will also disallow your claim to the exclusion for dependent care benefits. Free tax preparation software In addition, because you and your husband did not live apart for the last 6 months of the year, your husband cannot claim head of household filing status. Free tax preparation software As a result, his filing status is married filing separately, so he cannot claim the earned income credit or the credit for child and dependent care expenses. Free tax preparation software Example 9—unmarried parents. Free tax preparation software You, your 5-year-old son, and your son's father lived together all year. Free tax preparation software You and your son's father are not married. Free tax preparation software Your son is a qualifying child of both you and his father because he meets the relationship, age, residency, support, and joint return tests for both you and his father. Free tax preparation software Your AGI is $12,000 and your son's father's AGI is $14,000. Free tax preparation software Your son's father agrees to let you claim the child as a qualifying child. Free tax preparation software This means you can claim him as a qualifying child for the dependency exemption, child tax credit, head of household filing status, credit for child and dependent care expenses, exclusion for dependent care benefits, and the earned income credit, if you qualify for each of those tax benefits (and if your son's father does not, in fact, claim your son as a qualifying child for any of those tax benefits). Free tax preparation software Example 10—unmarried parents claim same child. Free tax preparation software The facts are the same as in Example 9 except that you and your son's father both claim your son as a qualifying child. Free tax preparation software In this case, only your son's father will be allowed to treat your son as a qualifying child. Free tax preparation software This is because his AGI, $14,000, is more than your AGI, $12,000. Free tax preparation software If you claimed an exemption or the child tax credit for your son, the IRS will disallow your claim to both these tax benefits. Free tax preparation software If you do not have another qualifying child or dependent, the IRS will also disallow your claim to the earned income credit, head of household filing status, the credit for child and dependent care expenses, and the exclusion for dependent care benefits. Free tax preparation software Example 11—child did not live with a parent. Free tax preparation software You and your 7-year-old niece, your sister's child, lived with your mother all year. Free tax preparation software You are 25 years old, and your AGI is $9,300. Free tax preparation software Your mother's AGI is $15,000. Free tax preparation software Your niece's parents file jointly, have an AGI of less than $9,000, and do not live with you or their child. Free tax preparation software Your niece is a qualifying child of both you and your mother because she meets the relationship, age, residency, support, and joint return tests for both you and your mother. Free tax preparation software However, only your mother can treat her as a qualifying child. Free tax preparation software This is because your mother's AGI, $15,000, is more than your AGI, $9,300. Free tax preparation software Applying this special rule to divorced or separated parents (or parents who live apart). Free tax preparation software   If a child is treated as the qualifying child of the noncustodial parent under the rules described earlier for children of divorced or separated parents (or parents who live apart), only the noncustodial parent can claim an exemption and the child tax credit for the child. Free tax preparation software However, the custodial parent, if eligible, or other eligible person can claim the child as a qualifying child for head of household filing status, the credit for child and dependent care expenses, the exclusion for dependent care benefits, and the earned income credit. Free tax preparation software If the child is the qualifying child of more than one person for these benefits, then the tiebreaker rules just explained determine which person can treat the child as a qualifying child. Free tax preparation software Example 1. Free tax preparation software You and your 5-year-old son lived all year with your mother, who paid the entire cost of keeping up the home. Free tax preparation software Your AGI is $10,000. Free tax preparation software Your mother's AGI is $25,000. Free tax preparation software Your son's father did not live with you or your son. Free tax preparation software Under the rules explained earlier for children of divorced or separated parents (or parents who live apart), your son is treated as the qualifying child of his father, who can claim an exemption and the child tax credit for him. Free tax preparation software Because of this, you cannot claim an exemption or the child tax credit for your son. Free tax preparation software However, your son's father cannot claim your son as a qualifying child for head of household filing status, the credit for child and dependent care expenses, the exclusion for dependent care benefits, or the earned income credit. Free tax preparation software You and your mother did not have any child care expenses or dependent care benefits, so neither of you can claim the credit for child and dependent care expenses or the exclusion for dependent care benefits. Free tax preparation software But the boy is a qualifying child of both you and your mother for head of household filing status and the earned income credit because he meets the relationship, age, residency, support, and joint return tests for both you and your mother. Free tax preparation software (Note: The support test does not apply for the earned income credit. Free tax preparation software ) However, you agree to let your mother claim your son. Free tax preparation software This means she can claim him for head of household filing status and the earned income credit if she qualifies for each and if you do not claim him as a qualifying child for the earned income credit. Free tax preparation software (You cannot claim head of household filing status because your mother paid the entire cost of keeping up the home. Free tax preparation software ) Example 2. Free tax preparation software The facts are the same as in Example 1 except your AGI is $25,000 and your mother's AGI is $21,000. Free tax preparation software Your mother cannot claim your son as a qualifying child for any purpose because her AGI is not higher than yours. Free tax preparation software Example 3. Free tax preparation software The facts are the same as in Example 1 except you and your mother both claim your son as a qualifying child for the earned income credit. Free tax preparation software Your mother also claims him as a qualifying child for head of household filing status. Free tax preparation software You, as the child's parent, will be the only one allowed to claim your son as a qualifying child for the earned income credit. Free tax preparation software The IRS will disallow your mother's claim to the earned income credit and head of household filing status unless she has another qualifying child. Free tax preparation software Qualifying Relative Four tests must be met for a person to be your qualifying relative. Free tax preparation software The four tests are: Not a qualifying child test, Member of household or relationship test, Gross income test, and Support test. Free tax preparation software Age. Free tax preparation software   Unlike a qualifying child, a qualifying relative can be any age. Free tax preparation software There is no age test for a qualifying relative. Free tax preparation software Kidnapped child. Free tax preparation software   You may be able to treat a child as your qualifying relative even if the child has been kidnapped. Free tax preparation software See Publication 501 for details. Free tax preparation software Not a Qualifying Child Test A child is not your qualifying relative if the child is your qualifying child or the qualifying child of any other taxpayer. Free tax preparation software Example 1. Free tax preparation software Your 22-year-old daughter, who is a student, lives with you and meets all the tests to be your qualifying child. Free tax preparation software She is not your qualifying relative. Free tax preparation software Example 2. Free tax preparation software Your 2-year-old son lives with your parents and meets all the tests to be their qualifying child. Free tax preparation software He is not your qualifying relative. Free tax preparation software Example 3. Free tax preparation software Your son lives with you but is not your qualifying child because he is 30 years old and does not meet the age test. Free tax preparation software He may be your qualifying relative if the gross income test and the support test are met. Free tax preparation software Example 4. Free tax preparation software Your 13-year-old grandson lived with his mother for 3 months, with his uncle for 4 months, and with you for 5 months during the year. Free tax preparation software He is not your qualifying child because he does not meet the residency test. Free tax preparation software He may be your qualifying relative if the gross income test and the support test are met. Free tax preparation software Child of person not required to file a return. Free tax preparation software   A child is not the qualifying child of any other taxpayer and so may qualify as your qualifying relative if the child's parent (or other person for whom the child is defined as a qualifying child) is not required to file an income tax return and either: Does not file an income tax return, or Files a return only to get a refund of income tax withheld or estimated tax paid. Free tax preparation software Example 1—return not required. Free tax preparation software You support an unrelated friend and her 3-year-old child, who lived with you all year in your home. Free tax preparation software Your friend has no gross income, is not required to file a 2013 tax return, and does not file a 2013 tax return. Free tax preparation software Both your friend and her child are your qualifying relatives if the support test is met. Free tax preparation software Example 2—return filed to claim refund. Free tax preparation software The facts are the same as in Example 1 except your friend had wages of $1,500 during the year and had income tax withheld from her wages. Free tax preparation software She files a return only to get a refund of the income tax withheld and does not claim the earned income credit or any other tax credits or deductions. Free tax preparation software Both your friend and her child are your qualifying relatives if the support test is met. Free tax preparation software Example 3—earned income credit claimed. Free tax preparation software The facts are the same as in Example 2 except your friend had wages of $8,000 during the year and claimed the earned income credit on her return. Free tax preparation software Your friend's child is the qualifying child of another taxpayer (your friend), so you cannot claim your friend's child as your qualifying relative. Free tax preparation software Child in Canada or Mexico. Free tax preparation software   You may be able to claim your child as a dependent even if the child lives in Canada or Mexico. Free tax preparation software If the child does not live with you, the child does not meet the residency test to be your qualifying child. Free tax preparation software However, the child may still be your qualifying relative. Free tax preparation software If the persons the child does live with are not U. Free tax preparation software S. Free tax preparation software citizens and have no U. Free tax preparation software S. Free tax preparation software gross income, those persons are not “taxpayers,” so the child is not the qualifying child of any other taxpayer. Free tax preparation software If the child is not the qualifying child of any other taxpayer, the child is your qualifying relative as long as the gross income test and the support test are met. Free tax preparation software   You cannot claim as a dependent a child who lives in a foreign country other than Canada or Mexico, unless the child is a U. Free tax preparation software S. Free tax preparation software citizen, U. Free tax preparation software S. Free tax preparation software resident alien, or U. Free tax preparation software S. Free tax preparation software national. Free tax preparation software There is an exception for certain adopted children who lived with you all year. Free tax preparation software See Citizen or Resident Test , earlier. Free tax preparation software Example. Free tax preparation software You provide all the support of your children, ages 6, 8, and 12, who live in Mexico with your mother and have no income. Free tax preparation software You are single and live in the United States. Free tax preparation software Your mother is not a U. Free tax preparation software S. Free tax preparation software citizen and has no U. Free tax preparation software S. Free tax preparation software income, so she is not a “taxpayer. Free tax preparation software ” Your children are not your qualifying children because they do not meet the residency test. Free tax preparation software But since they are not the qualifying children of any other taxpayer, they are your qualifying relatives and you can claim them as dependents. Free tax preparation software You may also be able to claim your mother as a dependent if the gross income and support tests are met. Free tax preparation software Member of Household or Relationship Test To meet this test, a person must either: Live with you all year as a member of your household, or Be related to you in one of the ways listed under Relatives who do not have to live with you . Free tax preparation software If at any time during the year the person was your spouse, that person cannot be your qualifying relative. Free tax preparation software However, see Personal Exemptions , earlier. Free tax preparation software Relatives who do not have to live with you. Free tax preparation software   A person related to you in any of the following ways does not have to live with you all year as a member of your household to meet this test. Free tax preparation software Your child, stepchild, foster child, or a descendant of any of them (for example, your grandchild). Free tax preparation software (A legally adopted child is considered your child. Free tax preparation software ) Your brother, sister, half brother, half sister, stepbrother, or stepsister. Free tax preparation software Your father, mother, grandparent, or other direct ancestor, but not foster parent. Free tax preparation software Your stepfather or stepmother. Free tax preparation software A son or daughter of your brother or sister. Free tax preparation software A son or daughter of your half brother or half sister. Free tax preparation software A brother or sister of your father or mother. Free tax preparation software Your son-in-law, daughter-in-law, father-in-law, mother-in-law, brother-in-law, or sister-in-law. Free tax preparation software Any of these relationships that were established by marriage are not ended by death or divorce. Free tax preparation software Example. Free tax preparation software You and your wife began supporting your wife's father, a widower, in 2006. Free tax preparation software Your wife died in 2012. Free tax preparation software Despite your wife's death, your father-in-law continues to meet this test, even if he does not live with you. Free tax preparation software You can claim him as a dependent if all other tests are met, including the gross income test and support test. Free tax preparation software Foster child. Free tax preparation software   A foster child is an individual who is placed with you by an authorized placement agency or by judgment, decree, or other order of any court of competent jurisdiction. Free tax preparation software Joint return. Free tax preparation software   If you file a joint return, the person can be related to either you or your spouse. Free tax preparation software Also, the person does not need to be related to the spouse who provides support. Free tax preparation software   For example, your spouse's uncle who receives more than half of his support from you may be your qualifying relative, even though he does not live with you. Free tax preparation software However, if you and your spouse file separate returns, your spouse's uncle can be your qualifying relative only if he lives with you all year as a member of your household. Free tax preparation software Temporary absences. Free tax preparation software   A person is considered to live with you as a member of your household during periods of time when one of you, or both, are temporarily absent due to special circumstances such as: Illness, Education, Business, Vacation, or Military service. Free tax preparation software   If the person is placed in a nursing home for an indefinite period of time to receive constant medical care, the absence may be considered temporary. Free tax preparation software Death or birth. Free tax preparation software   A person who died during the year, but lived with you as a member of your household until death, will meet this test. Free tax preparation software The same is true for a child who was born during the year and lived with you as a member of your household for the rest of the year. Free tax preparation software The test is also met if a child lived with you as a member of your household except for any required hospital stay following birth. Free tax preparation software   If your dependent died during the year and you otherwise qualify to claim an exemption for the dependent, you can still claim the exemption. Free tax preparation software Example. Free tax preparation software Your dependent mother died on January 15. Free tax preparation software She met the tests to be your qualifying relative. Free tax preparation software The other tests to claim an exemption for a dependent were also met. Free tax preparation software You can claim an exemption for her on your return. Free tax preparation software Local law violated. Free tax preparation software   A person does not meet this test if at any time during the year the relationship between you and that person violates local law. Free tax preparation software Example. Free tax preparation software Your girlfriend lived with you as a member of your household all year. Free tax preparation software However, your relationship with her violated the laws of the state where you live, because she was married to someone else. Free tax preparation software Therefore, she does not meet this test and you cannot claim her as a dependent. Free tax preparation software Adopted child. Free tax preparation software   An adopted child is always treated as your own child. Free tax preparation software The term “adopted child” includes a child who was lawfully placed with you for legal adoption. Free tax preparation software Cousin. Free tax preparation software   Your cousin meets this test only if he or she lives with you all year as a member of your household. Free tax preparation software A cousin is a descendant of a brother or sister of your father or mother. Free tax preparation software Gross Income Test To meet this test, a person's gross income for the year must be less than $3,900. Free tax preparation software Gross income defined. Free tax preparation software   Gross income is all income in the form of money, property, and services that is not exempt from tax. Free tax preparation software   In a manufacturing, merchandising, or mining business, gross income is the total net sales minus the cost of goods sold, plus any miscellaneous income from the business. Free tax preparation software   Gross receipts from rental property are gross income. Free tax preparation software Do not deduct taxes, repairs, or other expenses, to determine the gross income from rental property. Free tax preparation software   Gross income includes a partner's share of the gross (not a share of the net) partnership income. Free tax preparation software    Gross income also includes all taxable unemployment compensation and certain scholarship and fellowship grants. Free tax preparation software Scholarships received by degree candidates and used for tuition, fees, supplies, books, and equipment required for particular courses generally are not included in gross income. Free tax preparation software For more information about scholarships, see chapter 12. Free tax preparation software   Tax-exempt income, such as certain social security benefits, is not included in gross income. Free tax preparation software Disabled dependent working at sheltered workshop. Free tax preparation software   For purposes of the gross income test, the gross income of an individual who is permanently and totally disabled at any time during the year does not include income for services the individual performs at a sheltered workshop. Free tax preparation software The availability of medical care at the workshop must be the main reason for the individual's presence there. Free tax preparation software Also, the income must come solely from activities at the workshop that are incident to this medical care. Free tax preparation software   A “sheltered workshop” is a school that: Provides special instruction or training designed to alleviate the disability of the individual, and Is operated by certain tax-exempt organizations, or by a state, a U. Free tax preparation software S. Free tax preparation software possession, a political subdivision of a state or possession, the United States, or the District of Columbia. Free tax preparation software “Permanently and totally disabled” has the same meaning here as under Qualifying Child, earlier. Free tax preparation software Support Test (To Be a Qualifying Relative) To meet this test, you generally must provide more than half of a person's total support during the calendar year. Free tax preparation software However, if two or more persons provide support, but no one person provides more than half of a person's total support, see Multiple Support Agreement , later. Free tax preparation software How to determine if support test is met. Free tax preparation software   You figure whether you have provided more than half of a person's total support by comparing the amount you contributed to that person's support with the entire amount of support that person received from all sources. Free tax preparation software This includes support the person provided from his or her own funds. Free tax preparation software   You may find Worksheet 3-1 helpful in figuring whether you provided more than half of a person's support. Free tax preparation software Person's own funds not used for support. Free tax preparation software   A person's own funds are not support unless they are actually spent for support. Free tax preparation software Example. Free tax preparation software Your mother received $2,400 in social security benefits and $300 in interest. Free tax preparation software She paid $2,000 for lodging and $400 for recreation. Free tax preparation software She put $300 in a savings account. Free tax preparation software Even though your mother received a total of $2,700 ($2,400 + $300), she spent only $2,400 ($2,000 + $400) for her own support. Free tax preparation software If you spent more than $2,400 for her support and no other support was received, you have provided more than half of her support. Free tax preparation software Child's wages used for own support. Free tax preparation software   You cannot include in your contribution to your child's support any support paid for by the child with the child's own wages, even if you paid the wages. Free tax preparation software Year support is provided. Free tax preparation software   The year you provide the support is the year you pay for it, even if you do so with borrowed money that you repay in a later year. Free tax preparation software   If you use a fiscal year to report your income, you must provide more than half of the dependent's support for the calendar year in which your fiscal year begins. Free tax preparation software Armed Forces dependency allotments. Free tax preparation software   The part of the allotment contributed by the government and the part taken out of your military pay are both considered provided by you in figuring whether you provide more than half of the support. Free tax preparation software If your allotment is used to support persons other than those you name, you can take the exemptions for them if they otherwise qualify. Free tax preparation software Example. Free tax preparation software You are in the Armed Forces. Free tax preparation software You authorize an allotment for your widowed mother that she uses to support herself and her sister. Free tax preparation software If the allotment provides more than half of each person's support, you can take an exemption for each of them, if they otherwise qualify, even though you authorize the allotment only for your mother. Free tax preparation software Tax-exempt military quarters allowances. Free tax preparation software   These allowances are treated the same way as dependency allotments in figuring support. Free tax preparation software The allotment of pay and the tax-exempt basic allowance for quarters are both considered as provided by you for support. Free tax preparation software Tax-exempt income. Free tax preparation software   In figuring a person's total support, include tax-exempt income, savings, and borrowed amounts used to support that person. Free tax preparation software Tax-exempt income includes certain social security benefits, welfare benefits, nontaxable life insurance proceeds, Armed Forces family allotments, nontaxable pensions, and tax-exempt interest. Free tax preparation software Example 1. Free tax preparation software You provide $4,000 toward your mother's support during the year. Free tax preparation software She has earned income of $600, nontaxable social security benefits of $4,800, and tax-exempt interest of $200. Free tax preparation software She uses all these for her support. Free tax preparation software You cannot claim an exemption for your mother because the $4,000 you provide is not more than half of her total support of $9,600 ($4,000 + $600 + $4,800 + $200). Free tax preparation software Example 2. Free tax preparation software Your niece takes out a student loan of $2,500 a