Ea

[GCU]

Parents are divorce for five years now with one minor child. The child is living with her mother all years. The father is giving child support. Under their divorce agreement, they claim the child on their respective returns alternately. This year, the father will claim the child as dependent. So the father can claim additional exemption for the child while the mother can not. Is the mother entitled to EIC? If she is, how is it computed and filed?
Just to make sure.

[Gene V]

credit

TTB page 3-16 third one down. Dad gets dependent exemption and Child Tax Credit; mom gets HOH, EIC and Dependent Care Credit. Also, see Pub. 17 page 28

[RLymanC]

RLymanC

The proper way to handle this is have custodial parent sign form 8332 to allow the non custodial parent the exemption. Federal law is controling on this issue even if the divorce decree seems to authorize it..Saves a lot of problems,,,get them to do this even if they don't think it is necessary.

This will allow the non custodial parent the dependent exemption and the child tax credit, and will also show that the custodial parent is qualified to file HOH anf claim the Earned Income Credit.