Yes, you should
still enter them on your return, but you must select the appropriate answers to
the questions in the Dependent section of TurboTax. (See detailed instructions
below.)
While you cannot
report them as your dependents this year, since the IRS only allows one parent
to include the children on their return for this purpose. You can; however,
take advantage of a special rule for divorced & separated (including never
married) parents. This rule is only applicable when you are the custodial
parent (meaning the children spend more than 6 months with you) and you do not
claim them as dependents. This special rule allows the custodial parent to
still report the children on their tax return for the Earned Income Tax Credit,
Head of Household filing status, and the Dependent Care Credit. For more
information on the topic, please read the IRS document on the topic; Dependents
and Exemption
Turbo Tax will help
you report your children accurately on your Tax return by taking the following
steps.
- Log in to TurboTax.com and
continue to your return.
- Go to Personal
Info (at top of
page).
- Select, add a
dependent and
follow the prompt on each page.
- When you come to the page
titled: Do you have an agreement with other parent about who
can claim him/her? (screenshot below; Parent Agreement) Select, Yes if
applicable.
- The following page is titled:
Is other parent claiming per your legal agreement? (screenshot below:
Legal Agreement) Select, Yes, other parent will claim child for 2016 per our legal
agreement, if applicable.
- The next page will say the
children are not eligible to be your dependents, but they will be used on
the tax return for any other credits that you may be entitled to take this
year.
After you have
completed these entries, complete the return as you normally would and answer
the prompts in the Turbo Tax software. For more information, read; What
happens when both parents claim a child on a tax refund.
