Children of divorced parents

[Gretel]

I guess I never e-filed a return for a custodial taxpayer who can claim EIC, while the non-custodial parent claims the children as dependents.

I assume second parent to file gets a rejection since SS numbers were used already? ...or is the IRS computer actually so smart as to identify this situation and not reject?

[David1980]

As long as the custodial parent doesn't claim the child's exemption and the non-custodial parent doesn't claim EIC, HOH, or 2441 they should both go through electronically. There's usually a way to indicate you're claiming the dependent for divorced/separated parents. Non-custodial parent should also be mailing in the 8332.

[Gretel]

Thanks, great. I guess I will find out if non-custodial parents did it correctly.

[MilTaxEA]

For these situations, I always recommend that my clients get in as early as possible to file before the non-custodial parent. Because if the non-custodial parent files wrong (which is very common) then you will have to paper file your client's return which really slows down their refund.

[Gary2]

Non-custodial parent should also be mailing in the 8332.

If the non-custodial parent e-files, then the 8332 goes with the 8453.