Head of Household-Dependent

[Bird Legs]

Client brings her mother into clients house to take care of her. Mother is elderly and has alzheimers. Is also bedridden. Daughter has a care giver there to take care of mother.
Daughter has 3 siblings. Each of the 4 children put $5,000. into mothers bank account
every 4 months to pay for care giver. Client pays all expenses for food, clothing, shelter,
etc. Client also has POA for her mothers bank account.
Can client claim mother as dependent and also file Head of Household?
your help is appreciated.

[Gretel]

It appears that your client did not provide over 50% of support.

No HOH for sure.

Maybe dependent under rules of multiple support agreement.

[Joe Btfsplk]

How about a multiple support agreement?

Is the multiple support agreement still available?

[jerome]

See the tax book page 3-17 for multiple support agreements. The mother is a qualifying relative because a multiple support agreement is an exception to the support test for the dependency exemption.

As for head of household, the flow chart on page 3-18 bombs out for head of household at the bottom, because a dependent claimed as such under a multiple support agreement does not qualify for head of household.

[Bird Legs]

Thanks

Thank each of you very much for taking the time to respond.
Realize that all of you are very busy right now.