Dependents, TurboTax won't let me add foster child born in 2017 and lived with me less than 6 mo, but more than half the time they were alive. Software needs an update.

[mattpparker]

IRS.gov shows several exceptions to time lived with you, including for children that were born during the tax year.

[KrisD · Accepted solution]

On the screen where you enter the months in your home, there should be a message that says "Since your baby was born in 2017, select The whole year here."

When you continue through the interview screens you should be asked "Where did (the child) spend the most nights in 2017?" and you should pick your home if you had the child for more than half their life in 2017. this should allow you to claim the child.

(please see screenshots below)

[Edited 02.19.18 | 08:35AM ]

[BobinCT]

But it sounds, in this case, like the child didn't live the him for the entire time.

[KrisD]

Oh, I see. thank you, I did not realize that.

[mattpparker]

Yup.  Lived with me 4 of the 7 months they were alive during the year.  IRS says that counts as "more than half the year".

[mattpparker]

TurboTax will not accept them since it was less than 6 months, doesn't account for the exception.

[mattpparker]

TurboTaxKrisD...  I didn't get the screen asking about where they spent the most nights.  That should be in the add dependents menu?

[KrisD]

I did use a scenario in the software. I enter a child, used a birthdate in 2017. On the screen for number of months, I selected "The whole year"  and I picked that I had the child more than half the time in my house. I was able to claim the child.

[KrisD]

Yes. Be sure you check "No" to the screen that asks if they supplied more than half their OWN support. This screen comes before the child qualifies and is easy to think the software is asking if YOU provided more than half. Can you check that? I will add a screenshot of that.

[mattpparker]

I was able to call them a biological child, work through the time lived with me, and it added them to the 1040.  But, it noted them as a son/daughter, not foster child.  I suppose the 1040 doesn't include any of the detail about time lived with you... so I could probably just select 7 mo?

[mattpparker]

I'm at the office at the moment, with the software on the home PC.  I caught that support question.  I'll run it through this evening...

[KrisD]

Good. The child does qualify as your dependent, so getting them on the 1040 is what you want to do. There is no tax difference if the child is reported as a foster child or biological child, but you should be able to use TurboTax and claim the child as your foster child and dependent.

[mattpparker]

Thanks for the help.  I'll give an update later this evening.

[mattpparker]

I still didn't get the screen that recognizes that they were born in tax year and asks about nights stayed.  Just asks for number of months.  Using delux with current updates.  So, I still think some fine tuning may be needed or pergaps that update just hasn't been pushed out yet.  But, I plugged in 7 mo stayed and it populated the 1040 appropriately.  So, I'm good to go.  Thanks again.