Yes, if his total taxable income for the year, including unemployment compensation, was less than $4050.
That assumes he was not a full time student. If he was, his income doesn't matter, and you can still claim him even if he had more income than $4050.
Both scenarios further assume that you & he meet the support test. "Paying bills" and health insurance may not be enough.
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, a relationship test and a residence
test. Only a QC qualifies the taxpayer for the Earned Income Credit. They are interrelated but the rules are different for each.
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
considered third party support and not as support provided by the student.
3. He lived with the parent
(including temporary absences such as away at school) for more than half
the year
A person can still be a Qualifying
relative dependent, if not a Qualifying Child, if he meets the 6 tests for
claiming a dependent:
1. Closely Related OR live
with the taxpayer ALL year
2. His/her gross taxable income for the year must be less than $4,050 (2016)
3. The taxpayer must have
provided more than 1/2 his support
In either case:
4. He must be a US citizen or resident of the US, Canada
or Mexico
5. He must not file a joint
return with his spouse or be claiming a dependent of his own
6. He must not be the
qualifying child of another taxpayer
The
IRS has a worksheet that can be used to help with the support calculation. See:
http://apps.irs.gov/app/vita/content/globalmedia/teacher/worksheet_for_determining_support_4012.pdf The support value of the home you provided is the fair market rental value
of the home plus utilities & other expenses divided by the number of
occupants.
