qualifying child- tie breaker rules

[kathyc2]

Just double checking that tie-breaker rules only come into effect if more than one parent tries to claim child.

Unmarried couple living together all year with 2 children. I do both returns. House is in his name only and he earns a little more so HOH goes to him. She files single claiming kids as dependents. This is the way the overall tax is the lowest.

I've done it this way in the past, but for some reason I'm second guessing myself.

[taxmom34]

I think he needs to claim one of the children in order to file Head of household

[Kram BergGold]

TTB Page 3-14

For this issue, always go to page 3=14 in TTB.
I am sure you will find the answer.

[DonB]

Just double checking that tie-breaker rules only come into effect if more than one parent tries to claim child.

Unmarried couple living together all year with 2 children. I do both returns. House is in his name only and he earns a little more so HOH goes to him. She files single claiming kids as dependents. This is the way the overall tax is the lowest.

I've done it this way in the past, but for some reason I'm second guessing myself.

The Tie Breaker rules are only used when two people claim the same child. There is much confusion on this. Qualifying child does not need to be a dependent to claim HOH.

[kathyc2]

The Tie Breaker rules are only used when two people claim the same child. There is much confusion on this. Qualifying child does not need to be a dependent to claim HOH.

Thanks, I thought I was correct. This forum is awesome for a one person office to get a quick second opinion!

[taxea]

HOH does not apply when there are two working adults in the household. They can either chose to split the kids or the one with the higher AGI takes the kids as dependents with a signed 8332 and they both file single in any case.

[ttbtaxes]

Two adults can live in the same house and each qualify as HOH.

Fleming Est. v. Comm'r, T.C. Memo. 1974-137
Jackson v. Comm'r, T.C. Memo. 1996-54

[ttbtaxes]

HOH does not apply when there are two working adults in the household. They can either chose to split the kids or the one with the higher AGI takes the kids as dependents with a signed 8332 and they both file single in any case.

What authoritative source(s) do you base this on?

[kathyc2]

Two adults can live in the same house and each qualify as HOH.

Fleming Est. v. Comm'r, T.C. Memo. 1974-137
Jackson v. Comm'r, T.C. Memo. 1996-54

I admit I didn't take the time to read the memos you posted. If the living arrangement was for the full year mathematically I don't see how 2 people could each pay over 1/2 the cost of maintaining home.

[DonB]

I admit I didn't take the time to read the memos you posted. If the living arrangement was for the full year mathematically I don't see how 2 people could each pay over 1/2 the cost of maintaining home.

eople
This applies when there are to separate households under the same roof. Two people each with their own children. IMO not to two people in a personal relationship living together.

[Twin Turbo Z]

If you head over to the IRS EIC site the FAQ section will answer these type of questions. The site changes in format all the time so head over and research. https://www.eitc.irs.gov/tax-prepare...and-tiebreaker The second question down deals with this situation. Bookmark or add to your favorites in your browser.

[taxea]

Two adults can live in the same house and each qualify as HOH.

Fleming Est. v. Comm'r, T.C. Memo. 1974-137
Jackson v. Comm'r, T.C. Memo. 1996-54

This is the new tax law

https://www.congress.gov/bill/115th-congress/house-bill/1/text

Be sure to read the due diligence penalties for tax preparers section of this bill it has additions and I'm betting we will have a question form coming our way that will be similar to F8867.

[New York Enrolled Agent]

What authoritative source(s) do you base this on?

I agree with Don B. The cases you cite indeed show it is possible to have two households in one home but neither case suggests an arrangement such as Don B posts "IMO not to two people in a personal relationship living together.

I assume you read the cases where separate bedrooms are noted.

This is from IRS SCA 1998-041 which addresses the issue. See if it supports your apparent disagreement with Don B.

Taxpayers X and Y are single parents, each with their own dependent children, who share a dwelling. Neither X nor Y is a surviving spouse or a nonresident alien. The kitchen, and other living areas are common areas, but the adults have their own bedrooms.

If you have a cite that shows a couple with the same bedroom can both declare HOH I would appreciate knowing that cite.

[taxea]

If you have a cite that shows a couple with the same bedroom can both declare HOH I would appreciate knowing that cite.

You are not going to find it. The purpose of the law is to help single parents not single parents living as a "married couple".