Question

Which of the following is CORRECT regarding the tiebreaker rules for a qualifying child?

A)The parent who has the higher AGI has the higher right, regardless of which parent the child lived with longer.

B)If neither claimant is a parent, the one who lived with the child longer has the higher right.

C)The parent who provided more support for the child has the higher right, regardless of AGI.

D)The parent who lived with the child longer has the higher right, regardless of AGI

Answer 1

Answer:

The correct answer is letter "D": The parent who lived with the child longer has the higher right, regardless of AGI.

Explanation:

The Internal Revenue Service (IRS) establishes there are four (4) rules that determine which parent should claim a child as a qualifying dependent at the moment of filing taxes. Those rules are:  

• Whoever the child has lived with the longest in the tax year.
• The parent with the highest Adjusted Gross Income (AGI) if the child has lived with each parent for the same period over the tax year.
• When no parent may report the child as a qualifying child, the individual with the highest AGI.
• An adult with an AGI higher than any parent if the parent does not accept the child as a qualifying child.