Eic

[Earl]

Client 61 is claiming sister who is 64 as a dependent. Sister is receiving disability social security. Clients income is below EIC threshhold. Can she claim EIC using sister as disabled qualifying relative.

[Possi]

Qualifying child

TTB 11-9
I reviewed this to be sure...
For EIC, the taxpayer might qualify for EIC if her own income is below the threshold.

A qualifier must be a child. "Qualifying Child" is the term. So, while a "qualifying relative" will qualify a taxpayer for Head of Household filing status, only a "qualifying child' will qualify the taxpayer for EIC.

[Earl]

Eic

Under qualifying child on page11-9 of TTB it says

1. Relationship - can be sister
2. Age - under age 19 and younger than taxpayer unless permanently
and totally disabled

Client's sister meets these qualifications. It just sounds so outrageous I
was questioning it.

[Larmil]

64 is younger than 61?

[Earl]

Eic

Same paragraph in TTB. States under age 19 and younger than taxpayer,
under age 24, student, and younger than taxpayer or permanently and
totally disabled, regardless of age.

Does the regardless of age just refer to meeting the age requirement or does
it also refer to the younger than taxpayer requirement.

[Larmil]

Sorry, my bad. It appears she qualifies.

[BP.]

TTB 11-9
"Qualifying Child" is the term.

And in that paragraph, sibling is defined as an EIC-Qualifying Child.

[mactoolsix]

Same paragraph in TTB. States under age 19 and younger than taxpayer,
under age 24, student, and younger than taxpayer or permanently and
totally disabled, regardless of age.

Does the regardless of age just refer to meeting the age requirement or does
it also refer to the younger than taxpayer requirement.

Directly from Form 8867 Part II question 12:

Was the child (at the end of the year on line 1)—
● Under age 19 and younger than the taxpayer (or the taxpayer’s spouse, if the taxpayer files jointly),
● Under age 24, a full-time student, and younger than the taxpayer (or the taxpayer’s spouse, if the taxpayer files jointly), or
● Any age and permanently and totally disabled?

Thus the "young than" does not apply to permanently and totally disabled.

[BHoffman]

http://www.eitc.irs.gov/central/main/

Here's some info that might help. I got a dreaded EIC with Sch C return today. Ugh.

[Possi]

Right!

I knew that she qualified as a dependent, but not for EIC purposes. I need to re-read that, and stop answering questions!