Dependency

[Earl]

Have client who made less than $10,000 this year. Has disabled child who is on SSI that is about 3/4 of client's total income.

Is SSI considered as social security and considered as provided by child for own support?

Or is SSI considered to be same as welfare (provided by state to needy person) and considered as provided by state for child's support?

Depending on answer client's child will be or not be dependent.

Would like anything to back up answer.

[dtlee]

I think §6334(a)(11) is the citation for welfare.

If this is SSI (as opposed to SSDI), I would consider it to be income provided by "the state" (in the larger sense of "state") as opposed to income provided by the recipient for their own support.

There are other concerns such as the impact to benefits of someone claiming a dependent who receives SSI which have been discussed recently.

I could find no recent cases (based on the Qualifying Child rules) and this case:

S. Alisobhani, 68 TCM 1493, Dec. 50,306(M), TC Memo. 1994-629.

Indicates that "...petitioner's father received Supplemental Security Income payments in the amount of $3,108.31, which funds are considered as being contributed by the father for his own support."

[dtlee]

See Pub 17, page 28, Support Test, Example 2

In that example, they state that welfare is considered support provided by the state not the child.

Also, on page 32, they state:

Support provided by the state (welfare, food stamps, housing, etc.). Benefits provided by the state to a needy person generally are considered support provided by the state. However, payments based on the needs of the recipient will not be considered as used entirely for that person's support if it is shown that part of the payments were not used for that purpose.