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posted Apr 11, 2024 11:14:15 AM

Could claiming parents as dependents effect their Medicaid/Welfare benefits (NJ)?

My parents have no income except Social Security and are both over 65. I purchased a home for them to live in (in 2019) and they live there rent free, I do not reside there. This furnishes over 50% of their living costs by a significant margin; in short I looked at the IRS site and believe they qualify as eligible dependents. They only file to receive a small return. However, they are both on Medicaid, receive SNAP benefits, and my father receives additional Hospice services as well. I do not want to claim them if it will effect any of those programs. Will claiming them have any effect?

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1 Replies
Level 15
Apr 11, 2024 11:19:05 AM

You are asking a question that should be answered by the programs that are providing the SNAP benefits and other benefits to your parents.   We cannot know the rules of the programs they are receiving benefits from.   We can tell you that claiming your parents would only get you a non-refundable $500 credit for each of them  that would lower your tax liability.