Dependent

[Bird Legs]

Grandparents have had custody of granddaughter for 8 yrs. Claimed her has dependent
on tax return showing relationship as granddaughter.
In 2005 adoption papers will be completed and the granddaughter will become daughter,
age 9, on Dec. 22, 2005.
For the 2005 tax return, dependent relationship, would it be reported as granddaughter or
daughter? also, does it make any difference?
Thanks.
Merry Christmas everyone.

[Chief]

Dependent

Merry Christmas:

I believe you would report the status of the child as of 12-31-05. This is in keeping with other guidelines. But really what difference would it make.

[taxea]

Dependent

If she is a daughter on 12/31/05 then she is considered a daughter for the whole year.
Don't forget the deductions for adoption expenses
taxea