You must be very careful claiming a dependent if they are on Medicaid- by claiming them on your tax return you are saying that you are providing more than half of their support, and this may affect their qualification. The credit for other dependents is only $500.
You cannot be forced to pay their healthcare, but having the Medicaid is better than worrying about the costs.
You would have to check with your state, but providing housing usually does not affect Medicaid availability.
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