Dependent

[4536317]

My son has officially moved back with me effective today 6/9/21. Do i need to do anything or file anything so his father doesn't claim him next year? or since it is the 6th month into the year he will be able to still file him as a dependent 

[Critter-3 · Accepted solution]

If the child lives with your for more then 1/2 the year (183 + days) then you have the right to claim the child using the IRS  custodial rules.   What may come into play and the other parent will need to be aware of is the new child tax credit rules for 2021 : 

https://www.irs.gov/credits-deductions/advance-child-tax-credit-payments-in-2021

[xmasbaby0 · Accepted solution]

You have not mentioned your son's age.    Are you asking about this because of the child tax credit payments that will begin in July?   If so, there will be a portal with the IRS to enter information for that---but it is not up yet.   If he is too old to get the child tax credit then you do not "do" anything about claiming your son as a dependent until you file a 2021 tax return next year in 2022.

More information will be available soon; the details of how it will be implemented have not yet been clarified fully.  There may be monthly payments going out beginning in July 2021, with some of the CTC still left as a refundable credit on your 2021 tax return next year.

https://ttlc.intuit.com/community/tax-topics/help/how-will-the-stimulus-package-impact-me/01/1393859...

https://www.irs.gov/credits-deductions/advance-child-tax-credit-payments-in-2021

[Hal_Al · Accepted solution]

Q. My son has officially moved back with me effective today 6/9/21. Do i need to do anything or file anything so his father doesn't claim him next year? 

A. No.  Just file correctly next year*.

Q. Since it is the 6th month into the year,  will the father be able to still file him as a dependent.

A.  No. The parent that the child lives with for more than half the year (183 + days) gets to claim him. 

*If someone else claimed your child 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 the child as  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 child 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 child, 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.  The custodial parent almost always wins. The IRS goes by physical custody, not legal custody. The non-custodial parent can only claim the child as a dependent if the custodial parent gives permission (on form 8332) or if it's spelled out in a pre 2009 divorce decree.   

There are two types of dependents, "Qualifying Children"(QC) and standard ("Qualifying Relative" in IRS parlance even though they don't have to actually be related). There is no income limit for a QC but there is an age limit, student status, a relationship test and residence test. Only a QC qualifies a taxpayer for the Earned Income Credit and the Child Tax Credit. They are interrelated but the rules are different for each.

The support test is different for each type. The support test, for a QC, is only that the child didn't provide more than half his own support. The support test for a Qualifying Relative is that the taxpayer provided more than half the relative's support.

A child of a taxpayer can still be a “Qualifying Child” (QC) dependent, regardless of his/her income, if:

1. He is under age 19, or under 24 if a full time student for at least 5 months of the year, or is totally & permanently disabled
2. He did not provide more than 1/2 his own support. Scholarships are excluded from the support calculation
3. He lived with the parent (including temporary absences such as away at school) for more than half the year

See full dependent rules at: https://turbotax.intuit.com/tax-tools/tax-tips/Family/Rules-for-Claiming-a-Dependent-on-Your-Tax-Ret...

[4536317]

He is 15 and no I wasn't asking for that because technically his father would be owed that. Since up until today he stayed with him the past six months and last y year as well.

[xmasbaby0 · Accepted solution]

You really do need to be aware of the rules and how that child tax credit will work for the upcoming year, because the payments that begin in July are advance payments that are applied toward the credit on your 2021 tax return, on which you will want to claim your child.   And the dad should know that he should opt out of it for the advance payments or he could end up owing it back when he prepares his next tax return.   The portal will be available on the IRS site soon.

If your son lives with you for more than half the year you are the one who will be able to claim him for 2021.   You have not mentioned if there is any signed agreement between you and the other parent regarding who claims the child.   The IRS cares who the child spent at least 183 nights of the tax year with.

[4536317]

thank you based on the number days left he will it will reach 206 days. 

[4536317]

thank  you @xmasbaby0  we had just a verbal agreement more like he always said he claimed the youngest child I claimed the oldest, because they lived at both locations more on his end. But based on our divorce decree he and I have joint legal custody however it was me that was named to file both children each year. I was suppose to sign a form as the custodial parent and I never did.  But sounds like to me if he tries to file him next year or even this child tax credit he will have to pay it back. It is 206 days left in the year and I will have him the remaining of the year.