One of the earliest sections of each year’s 1040 presents what many would consider a complicated legal question. That is, who may a taxpayer claim to be a dependent and write their personal exemption off on my taxes? Calderon v. IRS, T.C. Summary Op. 2015-9 (FEb. 5, 2015) is a recent Tax Court case that, though not binding, provides a relatively concise explanation of the applicable laws:
“Section 151(c) allows a taxpayer to deduct an “exemption amount for each individual who is a dependent (as defined in section 152) of the taxpayer for the taxable year.” As pertinent hereto, section 152(a)(1) defines a “dependent” as a “qualifying child”. Generally, a “qualifying child” must (i) bear a specified relationship to the taxpayer (such as child of the taxpayer); (ii) have the same principal place of abode as the taxpayer for more than one-half of the taxable year; (iii) meet certain age requirements; (iv) not have provided over one-half of his/her support for the year at issue; and (v) not have filed a joint return for the year.” Calderon at page 4.
So before adding some extra dependents to Box 6, explore some of these links to make sure the law entitles you to do so.
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