HOH & Divorce

[RayT]

The TaxBook, p. 3-14 states that a single person who pays over half the cost of keeping up a home and has a dependent child in the home for more than 6 months may claim HOH EXCEPT if the taxpayer's child claimed as a dependent based on rules for children of divorced parents; or, if the child is claimed as a dependent under a multiple support agreement.

Client separated on 2/24/07 and divorced on 9/21/07. Divorce decree allows alternating years for claiming child dependency. Ex-spouse pays child support and paid alimony for 5 months during 2007.

Where can I get clarification of the statements on p. 3-14 of the TaxBook? Do I need to read the divorce decree? All comments appreciated.

[Lion]

Tax Rules Trump Divorce Court

Generally, the tax rules trump any divorce decree. Again, generally, the custodial parent gets the dependency exemption and related credits and deductions, including Head of Household. She/he can give away the dependency to the ex, but she/he retains HoH, EIC, and Dependent Care, those stay with the parent where the child resided longest. What specifically do you need to know in your case. Give us facts and ask a question.

[RayT]

Attn: Lion Re: HOH & Divorce

Thank you for the response. Specifics are: Client separated 2/24/07, divorced 9/21/07. Has custody of child. Receives child support, Received some alimony. If client has paid more than half of home maintenance for 2007, can she qualify as HOH filing status?

[Possi]

Hoh

Yes, she gets the HOH filing status.
Child support is not a taxable event. Spousal support is taxable.

In the following years where the non-custodial parent is allowed to claim the dependent it gets tricky.

I have the custodial parent sign the 8332 for the non-custodial parent.

The custodial parent keeps the "dependent" for HOH filing status and for dependent care credit (babysitting/child care, NOT child support... don't confuse the two).
The non-custodial parent, with the signed 8332, will get the "exemption" which gives that parent the exemption deduction and the child tax credit.

Does that help?
~donna

[RayT]

HOH & Divorce

Donna, yes, thank you. I assume she still has to qualify for more than half of the home maintenance costs. Correct? Thanks again. RayT.

[veritas]

Donna, yes, thank you. I assume she still has to qualify for more than half of the home maintenance costs. Correct? Thanks again. RayT.

Over one half of keeping up the home.

[BHoffman]

Just making sure

Taxpayer (Mom) is unmarried. Daughter is 19, single, and a full time (still in high school, no tuition paid) student. Daughter lives with TP and has no earned income. TP provides all support for Daughter.

2008 is Dad's year to claim daughter as a dependent. Per the divorce decree, they alternate years.

Can Mom file as HOH?

I'm pretty sure the answer is yes based on TTB, but still would like some reassurance.

Thanks!

[Gene V]

Taxpayer (Mom) is unmarried. Daughter is 19, single, and a full time (still in high school, no tuition paid) student. Daughter lives with TP and has no earned income. TP provides all support for Daughter.

2008 is Dad's year to claim daughter as a dependent. Per the divorce decree, they alternate years.

Can Mom file as HOH?

I'm pretty sure the answer is yes based on TTB, but still would like some reassurance.

Thanks!

Yes, she Pub. 17 page 23
Table 2-1. Who Is a Qualifying Person Qualifying You To File as Head of Household?1

[Lion]

Definitely

Mom can have a dependent or a non-dependent child who qualifies her for HOH as long as she meets the requirements for HOH, such as paying more than half the costs of keeping up her home for herself and a qualifying person. As people have told you, Pub 17 outlines quite well who can be a qualifying person.

[BHoffman]

Thanks for kind replies. Pub. 17 is required reading

[Bees Knees]

Where can I get clarification of the statements on p. 3-14 of the TaxBook? Do I need to read the divorce decree? All comments appreciated.

The statement is taken from page 15 of the Form 1040 instructions. If the child is claimed as a dependent under the rules for children of divorced or separated parents, it means the child is not in the custody of the parent claiming the dependency exemption. If the child is not in the custody of that parent, then that parent gets no HOH, since HOH can only be taken if you have custody of the kid. The parent who does have custody of the kid but has signed away the dependency exemption still gets HOH under the rule mentioned on page 3-14 of TTB, # 2d, "The taxpayer’s child who is neither the taxpayer’s dependent nor a qualifying child because of the rules for children of divorced or separated parents.."

[JON]

Additional, I think,

last six months of the year the EX can not be part of the household.??!!

[RLymanC]

Answer is NO

Taxpayer (Mom) is unmarried. Daughter is 19, single, and a full time (still in high school, no tuition paid) student. Daughter lives with TP and has no earned income. TP provides all support for Daughter.

2008 is Dad's year to claim daughter as a dependent. Per the divorce decree, they alternate years.

Can Mom file as HOH?

I'm pretty sure the answer is yes based on TTB, but still would like some reassurance.

Thanks!

without form 8332. Only the custodial parent may claim HOH, without form 8332 the non-custodial parent has to say the child live there for over 6 month. Tax programs won't allow a dependent if not over 6 months and no 8332.

Custodial parent then is not qualified for EIC, Child Care,

[Redneck]

That being said

who get's the child tax credit.

[taxmom34]

the parent with the dependent