Q. Can i claim my granddaughter as a dependent?
A. Yes, a grandchild meets the relationship test for either a "Qualifying Child" dependent or a "Qualifying Relative".
Q. Or is she in the Other category?
A. In taxes, "other" has two meanings. In the TurboTax interview, you answer other. The dropdown menu will include grandchild. A grandchild can be your "qualifying child", for the Child Tax Credit (CTC) and EIC. But, if she is over 16, you will only get the "Other dependent credit" (up to $500, not the CTC (up to $2000).
Q. is a stepdaughter a dependent?
A. A stepchild is the same as a biological child for tax purposes. So, yes, a stepchild meets the relationship test for either a "Qualifying Child" dependent or a "Qualifying Relative". So, as others have said, you need to meet all the dependent rules (not just the relationship test) for her to be your dependent.
Even if you can claim her as a qualifying child dependent, there are additional rules to meet to claim the child tax credit or the Earned Income Credit (EIC)
