My daughter is considered section 504 by her school district as she has been diagnosed with GAD, generalized anxiety disorder, and ADHD. Can she qualify as disabled?

[Vanessa]

Probably not.  In order to be considered disabled by the IRS, one must be permanently and totally disabled and unable to engage in substantial gainful employment.  A school giving a diagnosis would not count.  This would need to be determined by a medical professional. 

[xmasbaby0]

DISABLED CHILD

So sorry to hear about your child's health problems.  There is not any extra tax benefit or deduction to saying that a child under age 13 is disabled on your Federal return.  If you have a disabled child over 12 and need to pay for childcare so you can work, saying the child is disabled can enable you to claim the childcare credit.  Or if the child is 19 or older, you can still claim the disabled child as your dependent.  Otherwise, it does not benefit you to claim that your child is disabled.  Your state tax laws may be different.

Of course, any medical expenses you are paying out of pocket should be entered in Medical Expenses in case you have met the threshold for claiming medical expenses as a deduction.