Q. I want to claim myself. It won't allow me since it said someone else can claim me. How can I change this?
A. You can't change it. If somebody else CAN claim you, you are not allowed to claim yourself unless that person does not actually claim you. The "will that person actually claim you" question comes up in the interview, after the "can someone claim you" question.
With the tax law change, effective 2018, most dependents will get the same refund whether they claim themselves or not. The personal exemption has been eliminated and the standard deduction increased. However, you only qualify for an education credit , if you are not a dependent. Even then, there are additional restrictions on claiming the refundable education credit.
If someone else claimed you, as a dependent, inappropriately, and if they file first, your return will be rejected if e-filed. You would then need to file a return on paper, claiming yourself, if appropriate. The IRS will process your return and send you your refund, in the normal time. Shortly (up to a year) thereafter, you’ll receive a letter from the IRS, stating that your exemption was claimed on another return. It will tell you that if you made a mistake to file an amended return and if you didn't make a mistake to do nothing. The other party will get the same letter you did. If one of you doesn't file an amended return, unclaiming the exemption, the next letter, from the IRS, will require you to provide proof. Be sure to reply in a timely manner.
Winner gets the tax benefits; loser gets to pay the IRS back with penalties and interest.
