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Turbotax Free State File

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Turbotax Free State File

Turbotax free state file Publication 509 - Introductory Material Table of Contents Future Developments What's New Reminders IntroductionOrdering forms and publications. Turbotax free state file Tax questions. Turbotax free state file Background Information for Using the Tax CalendarsElectronic deposit requirement. Turbotax free state file Legal holidays. Turbotax free state file Statewide legal holidays. Turbotax free state file Future Developments For the latest information about developments related to Publication 509, such as legislation enacted after it was published, go to www. Turbotax free state file irs. Turbotax free state file gov/pub509. Turbotax free state file What's New Publication 1518 discontinued after 2013. Turbotax free state file  Publication 1518, IRS Tax Calendar for Small Businesses and Self-Employed, is discontinued after 2013. Turbotax free state file An IRS Tax Calendar and most of the information previously contained in Publication 1518 can be found at www. Turbotax free state file irs. Turbotax free state file gov/taxcalendar. Turbotax free state file Reminders Photographs of missing children. Turbotax free state file  The Internal Revenue Service is a proud partner with the National Center for Missing and Exploited Children. Turbotax free state file Photographs of missing children selected by the Center may appear in this publication on pages that would otherwise be blank. Turbotax free state file You can help bring these children home by looking at the photographs and calling 1-800-THE-LOST (1-800-843-5678) if you recognize a child. Turbotax free state file Introduction A tax calendar is a 12-month calendar divided into quarters. Turbotax free state file The calendar gives specific due dates for: Filing tax forms, Paying taxes, and Taking other actions required by federal tax law. Turbotax free state file What does this publication contain?   This publication contains the following. Turbotax free state file A section on how to use the tax calendars. Turbotax free state file Three tax calendars: General Tax Calendar, Employer's Tax Calendar, and Excise Tax Calendar. Turbotax free state file A table showing the semiweekly deposit due dates for payroll taxes for 2014. Turbotax free state file   Most of the due dates discussed in this publication are also included in the IRS Tax Calendar available at www. Turbotax free state file irs. Turbotax free state file gov/taxcalendar. Turbotax free state file Who should use this publication?   Primarily, employers need to use this publication. Turbotax free state file However, the General Tax Calendar has important due dates for all businesses and individuals. Turbotax free state file Anyone who must pay excise taxes may need the Excise Tax Calendar . Turbotax free state file What are the advantages of using a tax calendar?   The following are advantages of using a calendar. Turbotax free state file You do not have to figure the due dates yourself. Turbotax free state file You can file or pay timely and avoid penalties. Turbotax free state file You do not have to adjust the due dates for Saturdays, Sundays, and legal holidays. Turbotax free state file You do not have to adjust the due dates for special banking rules if you use the Employer's Tax Calendar or Excise Tax Calendar . Turbotax free state file Which calendar(s) should I use?   To decide which calendar(s) to use, first look at the General Tax Calendar and highlight the dates that apply to you. Turbotax free state file If you are an employer, also use the Employer's Tax Calendar . Turbotax free state file If you must pay excise taxes, use the Excise Tax Calendar . Turbotax free state file Depending on your situation, you may need to use more than one calendar. Turbotax free state file Table 1. Turbotax free state file Useful Publications IF you are. Turbotax free state file . Turbotax free state file . Turbotax free state file THEN you may need. Turbotax free state file . Turbotax free state file . Turbotax free state file An employer • Publication 15 (Circular E), Employer's Tax Guide. Turbotax free state file  • Publication 15-A, Employer's Supplemental Tax Guide. Turbotax free state file  • Publication 15-B, Employer's Tax Guide to Fringe Benefits. Turbotax free state file  • Publication 926, Household Employer's Tax Guide. Turbotax free state file A farmer • Publication 51 (Circular A), Agricultural Employer's Tax Guide. Turbotax free state file  • Publication 225, Farmer's Tax Guide. Turbotax free state file An individual • Publication 505, Tax Withholding and Estimated Tax. Turbotax free state file Required to pay excise taxes • Publication 510, Excise Taxes. Turbotax free state file What is not in these calendars?   The calendars do not cover the employment or excise tax deposit rules. Turbotax free state file You can find the deposit rules for employment taxes in Publication 15 (Circular E), Employer's Tax Guide. Turbotax free state file The deposit rules for excise taxes are in Publication 510, Excise Taxes, and in the Instructions for Form 720, Quarterly Federal Excise Tax Return. Turbotax free state file In addition, the calendars do not cover filing forms and other requirements for: Estate taxes, Gift taxes, Trusts, Exempt organizations, Certain types of corporations, or Foreign partnerships. Turbotax free state file What other publications and tax forms will I need?   Table 1 lists other publications you may need to order. Turbotax free state file Each calendar lists the forms you may need. Turbotax free state file   See How To Get Tax Help near the end of this publication for information about getting publications and forms. Turbotax free state file Comments and suggestions. Turbotax free state file   We welcome your comments about this publication and your suggestions for future editions. Turbotax free state file   You can write to us at the following address: Internal Revenue Service Tax Forms and Publications Division 1111 Constitution Ave. Turbotax free state file NW, IR-6526 Washington, DC 20224   We respond to many letters by telephone. Turbotax free state file Therefore, it would be helpful if you would include your daytime phone number, including the area code, in your correspondence. Turbotax free state file   You can send us comments from www. Turbotax free state file irs. Turbotax free state file gov/formspubs. Turbotax free state file Click on More Information and then click on Comment on Tax Forms and Publications. Turbotax free state file   Although we cannot respond individually to each comment received, we do appreciate your feedback and will consider your comments as we revise our forms and publications. Turbotax free state file Ordering forms and publications. Turbotax free state file   Visit www. Turbotax free state file irs. Turbotax free state file gov/formspubs to download forms and publications, call 1-800-TAX-FORM (1-800-829-3676), or write to the address below and receive a response within 10 days after your request is received. Turbotax free state file Internal Revenue Service 1201 N. Turbotax free state file Mitsubishi Motorway Bloomington, IL 61705-6613 Tax questions. Turbotax free state file   If you have a tax question, check the information available on IRS. Turbotax free state file gov or call 1-800-829-1040. Turbotax free state file We cannot answer tax questions sent to either of the above addresses. Turbotax free state file Background Information for Using the Tax Calendars The following brief explanations may be helpful to you in using the tax calendars. Turbotax free state file IRS e-services make taxes easier. Turbotax free state file   Now more than ever before, businesses can enjoy the benefits of filing and paying their federal taxes electronically. Turbotax free state file Whether you rely on a tax professional or handle your own taxes, the IRS offers you convenient programs to make taxes easier. Turbotax free state file    You can e-file your Form 1040; certain business tax returns such as Forms 1120, 1120S, and 1065; certain employment tax returns such as Forms 940 and 941; certain excise tax returns such as Forms 720, 2290, and 8849; and Form 1099 and other information returns. Turbotax free state file Visit www. Turbotax free state file irs. Turbotax free state file gov/efile for more information. Turbotax free state file You can pay taxes online or by phone using the Electronic Federal Tax Payments System (EFTPS). Turbotax free state file For detailed information about using this free service, see Electronic deposit requirement below. Turbotax free state file   Use these electronic options to make filing and paying taxes easier. Turbotax free state file For more information on electronic payments, visit the IRS website at www. Turbotax free state file irs. Turbotax free state file gov/e-pay. Turbotax free state file Tax deposits. Turbotax free state file   Some taxes can be paid with the return on which they are reported. Turbotax free state file However, in many cases, you have to deposit the tax before the due date for filing the return. Turbotax free state file Tax deposits are figured for periods of time that are shorter than the time period covered by the return. Turbotax free state file See Publication 15 (Circular E) for the employment tax deposit rules. Turbotax free state file For the excise tax deposit rules, see Publication 510 or the Instructions for Form 720. Turbotax free state file    Electronic deposit requirement. Turbotax free state file   You must use electronic funds transfer to make all federal tax deposits (such as deposits of employment tax, excise tax, and corporate income tax). Turbotax free state file Generally, electronic fund transfers are made using the Electronic Federal Tax Payment System (EFTPS). Turbotax free state file EFTPS is a free service provided by the Department of Treasury. Turbotax free state file If you do not want to use EFTPS, you can arrange for your tax professional, financial institution, payroll service, or other trusted third party to make electronic deposits on your behalf. Turbotax free state file   To get more information or to enroll in EFTPS, call 1-800-555-4477 (business), 1-800-316-6541 (individual), or 1-800-733-4829 (TDD/TTY). Turbotax free state file You can also visit the EFTPS website at www. Turbotax free state file eftps. Turbotax free state file gov. Turbotax free state file Additional information about EFTPS is also available in Publication 966, Electronic Federal Tax Payment System: A Guide to Getting Started. Turbotax free state file    If you fail to timely, properly, and in full make your federal tax deposit, you may be subject to a failure-to-deposit penalty. Turbotax free state file For an EFTPS deposit to be on time, you must initiate the deposit by 8 p. Turbotax free state file m. Turbotax free state file Eastern time the day before the date the deposit is due. Turbotax free state file Saturday, Sunday, or legal holiday. Turbotax free state file   Generally, if a due date for performing any act for tax purposes falls on a Saturday, Sunday, or legal holiday, the act is considered to be performed timely if it is performed no later than the next day that is not a Saturday, Sunday, or legal holiday. Turbotax free state file The term legal holiday means any legal holiday in the District of Columbia. Turbotax free state file The calendars provided in this publication make the adjustment for Saturdays, Sundays, and legal holidays. Turbotax free state file But you must make any adjustments for statewide legal holidays, as discussed next. Turbotax free state file An exception to this rule for certain excise taxes is noted later under the Excise Tax Calendar. Turbotax free state file Legal holidays. Turbotax free state file   Legal holidays for 2014 are listed below. Turbotax free state file January 1— New Year's Day January 20— Birthday of Martin Luther King, Jr. Turbotax free state file / Inauguration Day February 17— Washington's Birthday April 16— District of Columbia Emancipation Day May 26— Memorial Day July 4— Independence Day September 1— Labor Day October 13— Columbus Day November 11— Veterans Day November 27— Thanksgiving Day December 25— Christmas Day Statewide legal holidays. Turbotax free state file   A statewide legal holiday delays a due date for filing a return only if the IRS office where you are required to file is located in that state. Turbotax free state file A statewide legal holiday does not delay a due date for making a federal tax deposit. Turbotax free state file Extended due date for Forms 1098, 1099, and W-2 if filed electronically. Turbotax free state file   If you file Forms 1098, 1099, or W-2 electronically, your due date for filing them with the IRS or the Social Security Administration (SSA) will be extended to March 31. Turbotax free state file   For 2014, the due date for giving the recipient these forms is January 31. Turbotax free state file   For information about filing Forms 1098, 1099, or W-2G electronically, see Publication 1220, Specifications for Filing Forms 1097, 1098, 1099, 3921, 3922, 5498, 8935, and W-2G Electronically. Turbotax free state file For information about filing Form W-2 electronically with the SSA, visit www. Turbotax free state file ssa. Turbotax free state file gov/employer or call 1-800-772-6270. Turbotax free state file Penalties. Turbotax free state file   Whenever possible, you should take action before the listed due date. Turbotax free state file If you are late, you may have to pay a penalty as well as interest on any overdue taxes. Turbotax free state file   Be sure to follow all the tax laws that apply to you. Turbotax free state file In addition to civil penalties, criminal penalties may be imposed for intentionally not paying taxes, for intentionally filing a false return, or for not filing a required return. Turbotax free state file Use of private delivery services. Turbotax free state file   You can use certain private delivery services designated by the IRS to meet the timely mailing as timely filing/paying rule for tax returns and payments. Turbotax free state file These private delivery services include only the following. Turbotax free state file DHL Express (DHL): DHL Same Day Service. Turbotax free state file Federal Express (FedEx): FedEx Priority Overnight, FedEx Standard Overnight, FedEx 2 Day, FedEx International Priority, and FedEx International First. Turbotax free state file United Parcel Service (UPS): UPS Next Day Air, UPS Next Day Air Saver, UPS 2nd Day Air, UPS 2nd Day Air A. Turbotax free state file M. Turbotax free state file , UPS Worldwide Express Plus, and UPS Worldwide Express. Turbotax free state file   For the IRS mailing address to use if you are using a private delivery service, go to IRS. Turbotax free state file gov and enter “private delivery service” in the search box. Turbotax free state file   The private delivery service can tell you how to get written proof of the mailing date. Turbotax free state file    The U. Turbotax free state file S. Turbotax free state file Postal Service advises that private delivery services cannot deliver items to P. Turbotax free state file O. Turbotax free state file boxes. Turbotax free state file You must use the U. Turbotax free state file S. Turbotax free state file Postal Service to mail any item to an IRS P. Turbotax free state file O. Turbotax free state file box address. Turbotax free state file Prev  Up  Next   Home   More Online Publications
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Page Last Reviewed or Updated: 30-Sep-2013

The Turbotax Free State File

Turbotax free state file 3. Turbotax free state file   Personal Exemptions and Dependents Table of Contents What's New Introduction Useful Items - You may want to see: ExemptionsPersonal Exemptions Exemptions for Dependents Qualifying Child Qualifying Relative Phaseout of Exemptions Social Security Numbers for DependentsBorn and died in 2013. Turbotax free state file Taxpayer identification numbers for aliens. Turbotax free state file Taxpayer identification numbers for adoptees. Turbotax free state file What's New Exemption amount. Turbotax free state file  The amount you can deduct for each exemption has increased. Turbotax free state file It was $3,800 for 2012. Turbotax free state file It is $3,900 for 2013. Turbotax free state file Exemption phaseout. Turbotax free state file  You lose at least part of the benefit of your exemptions if your adjusted gross income is more than a certain amount. Turbotax free state file For 2013, this amount is $150,000 for a married individual filing a separate return; $250,000 for a single individual; $275,000 for a head of household; and $300,000 for married individuals filing jointly or a qualifying widow(er). Turbotax free state file See Phaseout of Exemptions , later. Turbotax free state file Introduction This chapter discusses the following topics. Turbotax free state file Personal exemptions — You generally can take one for yourself and, if you are married, one for your spouse. Turbotax free state file Exemptions for dependents — You generally can take an exemption for each of your dependents. Turbotax free state file A dependent is your qualifying child or qualifying relative. Turbotax free state file If you are entitled to claim an exemption for a dependent, that dependent cannot claim a personal exemption on his or her own tax return. Turbotax free state file Phaseout of exemptions — Your deduction is reduced if your adjusted gross income is more than a certain amount. Turbotax free state file Social security number (SSN) requirement for dependents — You must list the SSN of any dependent for whom you claim an exemption. Turbotax free state file Deduction. Turbotax free state file   Exemptions reduce your taxable income. Turbotax free state file You can deduct $3,900 for each exemption you claim in 2013. Turbotax free state file But you may lose at least part of the dollar amount of your exemptions if your adjusted gross income is more than a certain amount. Turbotax free state file See Phaseout of Exemptions , later. Turbotax free state file How to claim exemptions. Turbotax free state file    How you claim an exemption on your tax return depends on which form you file. Turbotax free state file    If you file Form 1040EZ, the exemption amount is combined with the standard deduction amount and entered on line 5. Turbotax free state file    If you file Form 1040A, complete lines 6a through 6d. Turbotax free state file The total number of exemptions you can claim is the total in the box on line 6d. Turbotax free state file Also complete line 26. Turbotax free state file   If you file Form 1040, complete lines 6a through 6d. Turbotax free state file The total number of exemptions you can claim is the total in the box on line 6d. Turbotax free state file Also complete line 42. Turbotax free state file Useful Items - You may want to see: Publication 501 Exemptions, Standard Deduction, and Filing Information Form (and Instructions) 2120 Multiple Support Declaration 8332 Release/Revocation of Release of Claim to Exemption for Child by Custodial Parent Exemptions There are two types of exemptions you may be able to take: Personal exemptions for yourself and your spouse, and Exemptions for dependents (dependency exemptions). Turbotax free state file While each is worth the same amount ($3,900 for 2013), different rules apply to each type. Turbotax free state file Personal Exemptions You are generally allowed one exemption for yourself. Turbotax free state file If you are married, you may be allowed one exemption for your spouse. Turbotax free state file These are called personal exemptions. Turbotax free state file Your Own Exemption You can take one exemption for yourself unless you can be claimed as a dependent by another taxpayer. Turbotax free state file If another taxpayer is entitled to claim you as a dependent, you cannot take an exemption for yourself even if the other taxpayer does not actually claim you as a dependent. Turbotax free state file Your Spouse's Exemption Your spouse is never considered your dependent. Turbotax free state file Joint return. Turbotax free state file   On a joint return you can claim one exemption for yourself and one for your spouse. Turbotax free state file Separate return. Turbotax free state file   If you file a separate return, you can claim an exemption for your spouse only if your spouse had no gross income, is not filing a return, and was not the dependent of another taxpayer. Turbotax free state file This is true even if the other taxpayer does not actually claim your spouse as a dependent. Turbotax free state file You can claim an exemption for your spouse even if he or she is a nonresident alien; in that case, your spouse must have no gross income for U. Turbotax free state file S. Turbotax free state file tax purposes, must not be filing a return, and must not be the dependent of another taxpayer. Turbotax free state file Death of spouse. Turbotax free state file   If your spouse died during the year and you file a joint return for yourself and your deceased spouse, you generally can claim your spouse's exemption under the rules just explained in Joint return . Turbotax free state file If you file a separate return for the year, you may be able to claim your spouse's exemption under the rules just described in Separate return . Turbotax free state file   If you remarried during the year, you cannot take an exemption for your deceased spouse. Turbotax free state file   If you are a surviving spouse without gross income and you remarry in the year your spouse died, you can be claimed as an exemption on both the final separate return of your deceased spouse and the separate return of your new spouse for that year. Turbotax free state file If you file a joint return with your new spouse, you can be claimed as an exemption only on that return. Turbotax free state file Divorced or separated spouse. Turbotax free state file   If you obtained a final decree of divorce or separate maintenance during the year, you cannot take your former spouse's exemption. Turbotax free state file This rule applies even if you provided all of your former spouse's support. Turbotax free state file Exemptions for Dependents You are allowed one exemption for each person you can claim as a dependent. Turbotax free state file You can claim an exemption for a dependent even if your dependent files a return. Turbotax free state file The term “dependent” means: A qualifying child, or A qualifying relative. Turbotax free state file The terms “ qualifying child ” and “ qualifying relative ” are defined later. Turbotax free state file You can claim an exemption for a qualifying child or qualifying relative only if these three tests are met. Turbotax free state file Dependent taxpayer test. Turbotax free state file Joint return test. Turbotax free state file Citizen or resident test. Turbotax free state file These three tests are explained in detail later. Turbotax free state file All the requirements for claiming an exemption for a dependent are summarized in Table 3-1. Turbotax free state file Table 3-1. Turbotax free state file Overview of the Rules for Claiming an Exemption for a Dependent Caution. Turbotax free state file This table is only an overview of the rules. Turbotax free state file For details, see the rest of this chapter. Turbotax free state file You cannot claim any dependents if you (or your spouse, if filing jointly) could be claimed as a dependent by another taxpayer. Turbotax free state file   You cannot claim a married person who files a joint return as a dependent unless that joint return is filed only to claim a refund of withheld income tax or estimated tax paid. Turbotax free state file   You cannot claim a person as a dependent unless that person is a U. Turbotax free state file S. Turbotax free state file citizen, U. Turbotax free state file S. Turbotax free state file resident alien, U. Turbotax free state file S. Turbotax free state file national, or a resident of Canada or Mexico. Turbotax free state file 1  You cannot claim a person as a dependent unless that person is your qualifying child or qualifying relative. Turbotax free state file   Tests To Be a Qualifying Child   Tests To Be a Qualifying Relative The child must be your son, daughter, stepchild, foster child, brother, sister, half brother, half sister, stepbrother, stepsister, or a descendant of any of them. Turbotax free state file   The child must be (a) under age 19 at the end of the year and younger than you (or your spouse, if filing jointly), (b) under age 24 at the end of the year, a student, and younger than you (or your spouse, if filing jointly), or (c) any age if permanently and totally disabled. Turbotax free state file   The child must have lived with you for more than half of the year. Turbotax free state file 2  The child must not have provided more than half of his or her own support for the year. Turbotax free state file   The child is not filing a joint return for the year (unless that return is filed only to get a refund of income tax withheld or estimated tax paid). Turbotax free state file  If the child meets the rules to be a qualifying child of more than one person, only one person can actually treat the child as a qualifying child. Turbotax free state file See the Special Rule for Qualifying Child of More Than One Person to find out which person is the person entitled to claim the child as a qualifying child. Turbotax free state file   The person cannot be your qualifying child or the qualifying child of any other taxpayer. Turbotax free state file   The person either (a) must be related to you in one of the ways listed under Relatives who do not have to live with you , or (b) must live with you all year as a member of your household2 (and your relationship must not violate local law). Turbotax free state file   The person's gross income for the year must be less than $3,900. Turbotax free state file 3  You must provide more than half of the person's total support for the year. Turbotax free state file 4  1There is an exception for certain adopted children. Turbotax free state file 2There are exceptions for temporary absences, children who were born or died during the year, children of divorced or separated parents (or parents who live apart), and kidnapped children. Turbotax free state file 3There is an exception if the person is disabled and has income from a sheltered workshop. Turbotax free state file 4There are exceptions for multiple support agreements, children of divorced or separated parents (or parents who live apart), and kidnapped children. Turbotax free state file Dependent not allowed a personal exemption. Turbotax free state file If you can claim an exemption for your dependent, the dependent cannot claim his or her own personal exemption on his or her own tax return. Turbotax free state file This is true even if you do not claim the dependent's exemption on your return. Turbotax free state file It is also true if the dependent's exemption on your return is reduced or eliminated under the phaseout rule described under Phaseout of Exemptions, later. Turbotax free state file Housekeepers, maids, or servants. Turbotax free state file   If these people work for you, you cannot claim exemptions for them. Turbotax free state file Child tax credit. Turbotax free state file   You may be entitled to a child tax credit for each qualifying child who was under age 17 at the end of the year if you claimed an exemption for that child. Turbotax free state file For more information, see chapter 34. Turbotax free state file Dependent Taxpayer Test If you can be claimed as a dependent by another person, you cannot claim anyone else as a dependent. Turbotax free state file Even if you have a qualifying child or qualifying relative, you cannot claim that person as a dependent. Turbotax free state file If you are filing a joint return and your spouse can be claimed as a dependent by someone else, you and your spouse cannot claim any dependents on your joint return. Turbotax free state file Joint Return Test You generally cannot claim a married person as a dependent if he or she files a joint return. Turbotax free state file Exception. Turbotax free state file   You can claim an exemption for a person who files a joint return if that person and his or her spouse file the joint return only to claim a refund of income tax withheld or estimated tax paid. Turbotax free state file Example 1—child files joint return. Turbotax free state file You supported your 18-year-old daughter, and she lived with you all year while her husband was in the Armed Forces. Turbotax free state file He earned $25,000 for the year. Turbotax free state file The couple files a joint return. Turbotax free state file You cannot take an exemption for your daughter. Turbotax free state file Example 2—child files joint return only as claim for refund of withheld tax. Turbotax free state file Your 18-year-old son and his 17-year-old wife had $800 of wages from part-time jobs and no other income. Turbotax free state file Neither is required to file a tax return. Turbotax free state file They do not have a child. Turbotax free state file Taxes were taken out of their pay so they filed a joint return only to get a refund of the withheld taxes. Turbotax free state file The exception to the joint return test applies, so you are not disqualified from claiming an exemption for each of them just because they file a joint return. Turbotax free state file You can claim exemptions for each of them if all the other tests to do so are met. Turbotax free state file Example 3—child files joint return to claim American opportunity credit. Turbotax free state file The facts are the same as in Example 2 except no taxes were taken out of your son's pay. Turbotax free state file He and his wife are not required to file a tax return. Turbotax free state file However, they file a joint return to claim an American opportunity credit of $124 and get a refund of that amount. Turbotax free state file Because claiming the American opportunity credit is their reason for filing the return, they are not filing it only to get a refund of income tax withheld or estimated tax paid. Turbotax free state file The exception to the joint return test does not apply, so you cannot claim an exemption for either of them. Turbotax free state file Citizen or Resident Test You cannot claim a person as a dependent unless that person is a U. Turbotax free state file S. Turbotax free state file citizen, U. Turbotax free state file S. Turbotax free state file resident alien, U. Turbotax free state file S. Turbotax free state file national, or a resident of Canada or Mexico. Turbotax free state file However, there is an exception for certain adopted children, as explained next. Turbotax free state file Exception for adopted child. Turbotax free state file   If you are a U. Turbotax free state file S. Turbotax free state file citizen or U. Turbotax free state file S. Turbotax free state file national who has legally adopted a child who is not a U. Turbotax free state file S. Turbotax free state file citizen, U. Turbotax free state file S. Turbotax free state file resident alien, or U. Turbotax free state file S. Turbotax free state file national, this test is met if the child lived with you as a member of your household all year. Turbotax free state file This exception also applies if the child was lawfully placed with you for legal adoption. Turbotax free state file Child's place of residence. Turbotax free state file   Children usually are citizens or residents of the country of their parents. Turbotax free state file   If you were a U. Turbotax free state file S. Turbotax free state file citizen when your child was born, the child may be a U. Turbotax free state file S. Turbotax free state file citizen and meet this test even if the other parent was a nonresident alien and the child was born in a foreign country. Turbotax free state file Foreign students' place of residence. Turbotax free state file   Foreign students brought to this country under a qualified international education exchange program and placed in American homes for a temporary period generally are not U. Turbotax free state file S. Turbotax free state file residents and do not meet this test. Turbotax free state file You cannot claim an exemption for them. Turbotax free state file However, if you provided a home for a foreign student, you may be able to take a charitable contribution deduction. Turbotax free state file See Expenses Paid for Student Living With You in chapter 24. Turbotax free state file U. Turbotax free state file S. Turbotax free state file national. Turbotax free state file   A U. Turbotax free state file S. Turbotax free state file national is an individual who, although not a U. Turbotax free state file S. Turbotax free state file citizen, owes his or her allegiance to the United States. Turbotax free state file U. Turbotax free state file S. Turbotax free state file nationals include American Samoans and Northern Mariana Islanders who chose to become U. Turbotax free state file S. Turbotax free state file nationals instead of U. Turbotax free state file S. Turbotax free state file citizens. Turbotax free state file Qualifying Child Five tests must be met for a child to be your qualifying child. Turbotax free state file The five tests are: Relationship, Age, Residency, Support, and Joint return. Turbotax free state file These tests are explained next. Turbotax free state file If a child meets the five tests to be the qualifying child of more than one person, a special rule applies to determine which person can actually treat the child as a qualifying child. Turbotax free state file See Special Rule for Qualifying Child of More Than One Person, later. Turbotax free state file Relationship Test To meet this test, a child must be: Your son, daughter, stepchild, foster child, or a descendant (for example, your grandchild) of any of them, or Your brother, sister, half brother, half sister, stepbrother, stepsister, or a descendant (for example, your niece or nephew) of any of them. Turbotax free state file Adopted child. Turbotax free state file   An adopted child is always treated as your own child. Turbotax free state file The term “adopted child” includes a child who was lawfully placed with you for legal adoption. Turbotax free state file Foster child. Turbotax free state file   A foster child is an individual who is placed with you by an authorized placement agency or by judgment, decree, or other order of any court of competent jurisdiction. Turbotax free state file Age Test To meet this test, a child must be: Under age 19 at the end of the year and younger than you (or your spouse, if filing jointly), A student under age 24 at the end of the year and younger than you (or your spouse, if filing jointly), or Permanently and totally disabled at any time during the year, regardless of age. Turbotax free state file Example. Turbotax free state file Your son turned 19 on December 10. Turbotax free state file Unless he was permanently and totally disabled or a student, he does not meet the age test because, at the end of the year, he was not under age 19. Turbotax free state file Child must be younger than you or spouse. Turbotax free state file   To be your qualifying child, a child who is not permanently and totally disabled must be younger than you. Turbotax free state file However, if you are married filing jointly, the child must be younger than you or your spouse but does not have to be younger than both of you. Turbotax free state file Example 1—child not younger than you or spouse. Turbotax free state file Your 23-year-old brother, who is a student and unmarried, lives with you and your spouse. Turbotax free state file He is not disabled. Turbotax free state file Both you and your spouse are 21 years old, and you file a joint return. Turbotax free state file Your brother is not your qualifying child because he is not younger than you or your spouse. Turbotax free state file Example 2—child younger than your spouse but not younger than you. Turbotax free state file The facts are the same as in Example 1 except your spouse is 25 years old. Turbotax free state file Because your brother is younger than your spouse, and you and your spouse are filing a joint return, your brother is your qualifying child, even though he is not younger than you. Turbotax free state file Student defined. Turbotax free state file   To qualify as a student, your child must be, during some part of each of any 5 calendar months of the year: A full-time student at a school that has a regular teaching staff, course of study, and a regularly enrolled student body at the school, or A student taking a full-time, on-farm training course given by a school described in (1), or by a state, county, or local government agency. Turbotax free state file The 5 calendar months do not have to be consecutive. Turbotax free state file Full-time student. Turbotax free state file   A full-time student is a student who is enrolled for the number of hours or courses the school considers to be full-time attendance. Turbotax free state file School defined. Turbotax free state file   A school can be an elementary school, junior or senior high school, college, university, or technical, trade, or mechanical school. Turbotax free state file However, an on-the-job training course, correspondence school, or school offering courses only through the Internet does not count as a school. Turbotax free state file Vocational high school students. Turbotax free state file   Students who work on “co-op” jobs in private industry as a part of a school's regular course of classroom and practical training are considered full-time students. Turbotax free state file Permanently and totally disabled. Turbotax free state file   Your child is permanently and totally disabled if both of the following apply. Turbotax free state file He or she cannot engage in any substantial gainful activity because of a physical or mental condition. Turbotax free state file A doctor determines the condition has lasted or can be expected to last continuously for at least a year or can lead to death. Turbotax free state file Residency Test To meet this test, your child must have lived with you for more than half the year. Turbotax free state file There are exceptions for temporary absences, children who were born or died during the year, kidnapped children, and children of divorced or separated parents. Turbotax free state file Temporary absences. Turbotax free state file   Your child is considered to have lived with you during periods of time when one of you, or both, are temporarily absent due to special circumstances such as: Illness, Education, Business, Vacation, or Military service. Turbotax free state file Your child is also considered to have lived with you during any required hospital stay following birth, as long as the child would have lived with you during that time but for the hospitalization. Turbotax free state file Death or birth of child. Turbotax free state file   A child who was born or died during the year is treated as having lived with you more than half of the year if your home was the child's home more than half of the time he or she was alive during the year. Turbotax free state file Child born alive. Turbotax free state file   You may be able to claim an exemption for a child born alive during the year, even if the child lived only for a moment. Turbotax free state file State or local law must treat the child as having been born alive. Turbotax free state file There must be proof of a live birth shown by an official document, such as a birth certificate. Turbotax free state file The child must be your qualifying child or qualifying relative, and all the other tests to claim an exemption for a dependent must be met. Turbotax free state file Stillborn child. Turbotax free state file   You cannot claim an exemption for a stillborn child. Turbotax free state file Kidnapped child. Turbotax free state file   You may be able to treat your child as meeting the residency test even if the child has been kidnapped. Turbotax free state file See Publication 501 for details. Turbotax free state file Children of divorced or separated parents (or parents who live apart). Turbotax free state file   In most cases, because of the residency test, a child of divorced or separated parents is the qualifying child of the custodial parent. Turbotax free state file However, the child will be treated as the qualifying child of the noncustodial parent if all four of the following statements are true. Turbotax free state file The parents: Are divorced or legally separated under a decree of divorce or separate maintenance, Are separated under a written separation agreement, or Lived apart at all times during the last 6 months of the year, whether or not they are or were married. Turbotax free state file The child received over half of his or her support for the year from the parents. Turbotax free state file The child is in the custody of one or both parents for more than half of the year. Turbotax free state file Either of the following statements is true. Turbotax free state file The custodial parent signs a written declaration, discussed later, that he or she will not claim the child as a dependent for the year, and the noncustodial parent attaches this written declaration to his or her return. Turbotax free state file (If the decree or agreement went into effect after 1984 and before 2009, see Post-1984 and pre-2009 divorce decree or separation agreement , later. Turbotax free state file If the decree or agreement went into effect after 2008, see Post-2008 divorce decree or separation agreement , later. Turbotax free state file ) A pre-1985 decree of divorce or separate maintenance or written separation agreement that applies to 2013 states that the noncustodial parent can claim the child as a dependent, the decree or agreement was not changed after 1984 to say the noncustodial parent cannot claim the child as a dependent, and the noncustodial parent provides at least $600 for the child's support during the year. Turbotax free state file Custodial parent and noncustodial parent. Turbotax free state file   The custodial parent is the parent with whom the child lived for the greater number of nights during the year. Turbotax free state file The other parent is the noncustodial parent. Turbotax free state file   If the parents divorced or separated during the year and the child lived with both parents before the separation, the custodial parent is the one with whom the child lived for the greater number of nights during the rest of the year. Turbotax free state file   A child is treated as living with a parent for a night if the child sleeps: At that parent's home, whether or not the parent is present, or In the company of the parent, when the child does not sleep at a parent's home (for example, the parent and child are on vacation together). Turbotax free state file Equal number of nights. Turbotax free state file   If the child lived with each parent for an equal number of nights during the year, the custodial parent is the parent with the higher adjusted gross income (AGI). Turbotax free state file December 31. Turbotax free state file   The night of December 31 is treated as part of the year in which it begins. Turbotax free state file For example, December 31, 2013, is treated as part of 2013. Turbotax free state file Emancipated child. Turbotax free state file   If a child is emancipated under state law, the child is treated as not living with either parent. Turbotax free state file See Examples 5 and 6. Turbotax free state file Absences. Turbotax free state file   If a child was not with either parent on a particular night (because, for example, the child was staying at a friend's house), the child is treated as living with the parent with whom the child normally would have lived for that night, except for the absence. Turbotax free state file But if it cannot be determined with which parent the child normally would have lived or if the child would not have lived with either parent that night, the child is treated as not living with either parent that night. Turbotax free state file Parent works at night. Turbotax free state file   If, due to a parent's nighttime work schedule, a child lives for a greater number of days, but not nights, with the parent who works at night, that parent is treated as the custodial parent. Turbotax free state file On a school day, the child is treated as living at the primary residence registered with the school. Turbotax free state file Example 1—child lived with one parent for a greater number of nights. Turbotax free state file You and your child’s other parent are divorced. Turbotax free state file In 2013, your child lived with you 210 nights and with the other parent 155 nights. Turbotax free state file You are the custodial parent. Turbotax free state file Example 2—child is away at camp. Turbotax free state file In 2013, your daughter lives with each parent for alternate weeks. Turbotax free state file In the summer, she spends 6 weeks at summer camp. Turbotax free state file During the time she is at camp, she is treated as living with you for 3 weeks and with her other parent, your ex-spouse, for 3 weeks because this is how long she would have lived with each parent if she had not attended summer camp. Turbotax free state file Example 3—child lived same number of nights with each parent. Turbotax free state file Your son lived with you 180 nights during the year and lived the same number of nights with his other parent, your ex-spouse. Turbotax free state file Your AGI is $40,000. Turbotax free state file Your ex-spouse's AGI is $25,000. Turbotax free state file You are treated as your son's custodial parent because you have the higher AGI. Turbotax free state file Example 4—child is at parent’s home but with other parent. Turbotax free state file Your son normally lives with you during the week and with his other parent, your ex-spouse, every other weekend. Turbotax free state file You become ill and are hospitalized. Turbotax free state file The other parent lives in your home with your son for 10 consecutive days while you are in the hospital. Turbotax free state file Your son is treated as living with you during this 10-day period because he was living in your home. Turbotax free state file Example 5—child emancipated in May. Turbotax free state file When your son turned age 18 in May 2013, he became emancipated under the law of the state where he lives. Turbotax free state file As a result, he is not considered in the custody of his parents for more than half of the year. Turbotax free state file The special rule for children of divorced or separated parents does not apply. Turbotax free state file Example 6—child emancipated in August. Turbotax free state file Your daughter lives with you from January 1, 2013, until May 31, 2013, and lives with her other parent, your ex-spouse, from June 1, 2013, through the end of the year. Turbotax free state file She turns 18 and is emancipated under state law on August 1, 2013. Turbotax free state file Because she is treated as not living with either parent beginning on August 1, she is treated as living with you the greater number of nights in 2013. Turbotax free state file You are the custodial parent. Turbotax free state file Written declaration. Turbotax free state file    The custodial parent may use either Form 8332 or a similar statement (containing the same information required by the form) to make the written declaration to release the exemption to the noncustodial parent. Turbotax free state file The noncustodial parent must attach a copy of the form or statement to his or her tax return. Turbotax free state file   The exemption can be released for 1 year, for a number of specified years (for example, alternate years), or for all future years, as specified in the declaration. Turbotax free state file Post-1984 and pre-2009 divorce decree or separation agreement. Turbotax free state file   If the divorce decree or separation agreement went into effect after 1984 and before 2009, the noncustodial parent may be able to attach certain pages from the decree or agreement instead of Form 8332. Turbotax free state file The decree or agreement must state all three of the following. Turbotax free state file The noncustodial parent can claim the child as a dependent without regard to any condition, such as payment of support. Turbotax free state file The custodial parent will not claim the child as a dependent for the year. Turbotax free state file The years for which the noncustodial parent, rather than the custodial parent, can claim the child as a dependent. Turbotax free state file   The noncustodial parent must attach all of the following pages of the decree or agreement to his or her tax return. Turbotax free state file The cover page (write the other parent's social security number on this page). Turbotax free state file The pages that include all of the information identified in items (1) through (3) above. Turbotax free state file The signature page with the other parent's signature and the date of the agreement. Turbotax free state file Post-2008 divorce decree or separation agreement. Turbotax free state file   The noncustodial parent cannot attach pages from the decree or agreement instead of Form 8332 if the decree or agreement went into effect after 2008. Turbotax free state file The custodial parent must sign either Form 8332 or a similar statement whose only purpose is to release the custodial parent's claim to an exemption for a child, and the noncustodial parent must attach a copy to his or her return. Turbotax free state file The form or statement must release the custodial parent's claim to the child without any conditions. Turbotax free state file For example, the release must not depend on the noncustodial parent paying support. Turbotax free state file    The noncustodial parent must attach the required information even if it was filed with a return in an earlier year. Turbotax free state file Revocation of release of claim to an exemption. Turbotax free state file   The custodial parent can revoke a release of claim to exemption that he or she previously released to the noncustodial parent on Form 8332 (or a similar statement). Turbotax free state file For the revocation to be effective for 2013, the custodial parent must have given (or made reasonable efforts to give) written notice of the revocation to the noncustodial parent in 2012 or earlier. Turbotax free state file The custodial parent can use Part III of Form 8332 for this purpose and must attach a copy of the revocation to his or her return for each tax year he or she claims the child as a dependent as a result of the revocation. Turbotax free state file Remarried parent. Turbotax free state file   If you remarry, the support provided by your new spouse is treated as provided by you. Turbotax free state file Parents who never married. Turbotax free state file   This special rule for divorced or separated parents also applies to parents who never married, and who lived apart at all times during the last 6 months of the year. Turbotax free state file Support Test (To Be a Qualifying Child) To meet this test, the child cannot have provided more than half of his or her own support for the year. Turbotax free state file This test is different from the support test to be a qualifying relative, which is described later. Turbotax free state file However, to see what is or is not support, see Support Test (To Be a Qualifying Relative) , later. Turbotax free state file If you are not sure whether a child provided more than half of his or her own support, you may find Worksheet 3-1 helpful. Turbotax free state file Worksheet 3-1. Turbotax free state file Worksheet for Determining Support Funds Belonging to the Person You Supported       1. Turbotax free state file Enter the total funds belonging to the person you supported, including income received (taxable and nontaxable) and amounts borrowed during the year, plus the amount in savings and other accounts at the beginning of the year. Turbotax free state file Do not include funds provided by the state; include those amounts on line 23 instead 1. Turbotax free state file     2. Turbotax free state file Enter the amount on line 1 that was used for the person's support 2. Turbotax free state file     3. Turbotax free state file Enter the amount on line 1 that was used for other purposes 3. Turbotax free state file     4. Turbotax free state file Enter the total amount in the person's savings and other accounts at the end of the year 4. Turbotax free state file     5. Turbotax free state file Add lines 2 through 4. Turbotax free state file (This amount should equal line 1. Turbotax free state file ) 5. Turbotax free state file     Expenses for Entire Household (where the person you supported lived)       6. Turbotax free state file Lodging (complete line 6a or 6b):         a. Turbotax free state file Enter the total rent paid 6a. Turbotax free state file       b. Turbotax free state file Enter the fair rental value of the home. Turbotax free state file If the person you supported owned the home,  also include this amount in line 21 6b. Turbotax free state file     7. Turbotax free state file Enter the total food expenses 7. Turbotax free state file     8. Turbotax free state file Enter the total amount of utilities (heat, light, water, etc. Turbotax free state file not included in line 6a or 6b) 8. Turbotax free state file     9. Turbotax free state file Enter the total amount of repairs (not included in line 6a or 6b) 9. Turbotax free state file     10. Turbotax free state file Enter the total of other expenses. Turbotax free state file Do not include expenses of maintaining the home, such as mortgage interest, real estate taxes, and insurance 10. Turbotax free state file     11. Turbotax free state file Add lines 6a through 10. Turbotax free state file These are the total household expenses 11. Turbotax free state file     12. Turbotax free state file Enter total number of persons who lived in the household 12. Turbotax free state file     Expenses for the Person You Supported       13. Turbotax free state file Divide line 11 by line 12. Turbotax free state file This is the person's share of the household expenses 13. Turbotax free state file     14. Turbotax free state file Enter the person's total clothing expenses 14. Turbotax free state file     15. Turbotax free state file Enter the person's total education expenses 15. Turbotax free state file     16. Turbotax free state file Enter the person's total medical and dental expenses not paid for or reimbursed by insurance 16. Turbotax free state file     17. Turbotax free state file Enter the person's total travel and recreation expenses 17. Turbotax free state file     18. Turbotax free state file Enter the total of the person's other expenses 18. Turbotax free state file     19. Turbotax free state file Add lines 13 through 18. Turbotax free state file This is the total cost of the person's support for the year 19. Turbotax free state file     Did the Person Provide More Than Half of His or Her Own Support?       20. Turbotax free state file Multiply line 19 by 50% (. Turbotax free state file 50) 20. Turbotax free state file     21. Turbotax free state file Enter the amount from line 2, plus the amount from line 6b if the person you supported owned  the home. Turbotax free state file This is the amount the person provided for his or her own support 21. Turbotax free state file     22. Turbotax free state file Is line 21 more than line 20?   No. Turbotax free state file You meet the support test for this person to be your qualifying child. Turbotax free state file If this person also meets the other tests to be a qualifying child, stop here; do not complete lines 23–26. Turbotax free state file Otherwise, go to line 23 and fill out the rest of the worksheet to determine if this person is your qualifying relative. Turbotax free state file    Yes. Turbotax free state file You do not meet the support test for this person to be either your qualifying child or your qualifying relative. Turbotax free state file Stop here. Turbotax free state file        Did You Provide More Than Half?       23. Turbotax free state file Enter the amount others provided for the person's support. Turbotax free state file Include amounts provided by state, local, and other welfare societies or agencies. Turbotax free state file Do not include any amounts included on line 1 23. Turbotax free state file     24. Turbotax free state file Add lines 21 and 23 24. Turbotax free state file     25. Turbotax free state file Subtract line 24 from line 19. Turbotax free state file This is the amount you provided for the person's support 25. Turbotax free state file     26. Turbotax free state file Is line 25 more than line 20?   Yes. Turbotax free state file You meet the support test for this person to be your qualifying relative. Turbotax free state file    No. Turbotax free state file You do not meet the support test for this person to be your qualifying relative. Turbotax free state file You cannot claim an exemption for this person unless you can do so under a multiple support agreement, the support test for children of divorced or separated parents, or the special rule for kidnapped children. Turbotax free state file See Multiple Support Agreement or Support Test for Children of Divorced or Separated Parents (or Parents Who Live Apart) , or Kidnapped child under Qualifying Relative. Turbotax free state file   Example. Turbotax free state file You provided $4,000 toward your 16-year-old son's support for the year. Turbotax free state file He has a part-time job and provided $6,000 to his own support. Turbotax free state file He provided more than half of his own support for the year. Turbotax free state file He is not your qualifying child. Turbotax free state file Foster care payments and expenses. Turbotax free state file   Payments you receive for the support of a foster child from a child placement agency are considered support provided by the agency. Turbotax free state file Similarly, payments you receive for the support of a foster child from a state or county are considered support provided by the state or county. Turbotax free state file   If you are not in the trade or business of providing foster care and your unreimbursed out-of-pocket expenses in caring for a foster child were mainly to benefit an organization qualified to receive deductible charitable contributions, the expenses are deductible as charitable contributions but are not considered support you provided. Turbotax free state file For more information about the deduction for charitable contributions, see chapter 24. Turbotax free state file If your unreimbursed expenses are not deductible as charitable contributions, they may qualify as support you provided. Turbotax free state file   If you are in the trade or business of providing foster care, your unreimbursed expenses are not considered support provided by you. Turbotax free state file Example 1. Turbotax free state file Lauren, a foster child, lived with Mr. Turbotax free state file and Mrs. Turbotax free state file Smith for the last 3 months of the year. Turbotax free state file The Smiths cared for Lauren because they wanted to adopt her (although she had not been placed with them for adoption). Turbotax free state file They did not care for her as a trade or business or to benefit the agency that placed her in their home. Turbotax free state file The Smiths' unreimbursed expenses are not deductible as charitable contributions but are considered support they provided for Lauren. Turbotax free state file Example 2. Turbotax free state file You provided $3,000 toward your 10-year-old foster child's support for the year. Turbotax free state file The state government provided $4,000, which is considered support provided by the state, not by the child. Turbotax free state file See Support provided by the state (welfare, food stamps, housing, etc. Turbotax free state file ) , later. Turbotax free state file Your foster child did not provide more than half of her own support for the year. Turbotax free state file Scholarships. Turbotax free state file   A scholarship received by a child who is a student is not taken into account in determining whether the child provided more than half of his or her own support. Turbotax free state file Joint Return Test (To Be a Qualifying Child) To meet this test, the child cannot file a joint return for the year. Turbotax free state file Exception. Turbotax free state file   An exception to the joint return test applies if your child and his or her spouse file a joint return only to claim a refund of income tax withheld or estimated tax paid. Turbotax free state file Example 1—child files joint return. Turbotax free state file You supported your 18-year-old daughter, and she lived with you all year while her husband was in the Armed Forces. Turbotax free state file He earned $25,000 for the year. Turbotax free state file The couple files a joint return. Turbotax free state file Because your daughter and her husband file a joint return, she is not your qualifying child. Turbotax free state file Example 2—child files joint return only as a claim for refund of withheld tax. Turbotax free state file Your 18-year-old son and his 17-year-old wife had $800 of wages from part-time jobs and no other income. Turbotax free state file Neither is required to file a tax return. Turbotax free state file They do not have a child. Turbotax free state file Taxes were taken out of their pay so they filed a joint return only to get a refund of the withheld taxes. Turbotax free state file The exception to the joint return test applies, so your son may be your qualifying child if all the other tests are met. Turbotax free state file Example 3—child files joint return to claim American opportunity credit. Turbotax free state file The facts are the same as in Example 2 except no taxes were taken out of your son's pay. Turbotax free state file He and his wife were not required to file a tax return. Turbotax free state file However, they file a joint return to claim an American opportunity credit of $124 and get a refund of that amount. Turbotax free state file Because claiming the American opportunity credit is their reason for filing the return, they are not filing it only to get a refund of income tax withheld or estimated tax paid. Turbotax free state file The exception to the joint return test does not apply, so your son is not your qualifying child. Turbotax free state file Special Rule for Qualifying Child of More Than One Person If your qualifying child is not a qualifying child of anyone else, this special rule does not apply to you and you do not need to read about it. Turbotax free state file This is also true if your qualifying child is not a qualifying child of anyone else except your spouse with whom you file a joint return. Turbotax free state file If a child is treated as the qualifying child of the noncustodial parent under the rules for children of divorced or separated parents (or parents who live apart) described earlier, see Applying this special rule to divorced or separated parents (or parents who live apart), later. Turbotax free state file Sometimes, a child meets the relationship, age, residency, support, and joint return tests to be a qualifying child of more than one person. Turbotax free state file Although the child is a qualifying child of each of these persons, only one person can actually treat the child as a qualifying child to take all of the following tax benefits (provided the person is eligible for each benefit). Turbotax free state file The exemption for the child. Turbotax free state file The child tax credit. Turbotax free state file Head of household filing status. Turbotax free state file The credit for child and dependent care expenses. Turbotax free state file The exclusion from income for dependent care benefits. Turbotax free state file The earned income credit. Turbotax free state file The other person cannot take any of these benefits based on this qualifying child. Turbotax free state file In other words, you and the other person cannot agree to divide these benefits between you. Turbotax free state file The other person cannot take any of these tax benefits for a child unless he or she has a different qualifying child. Turbotax free state file Tiebreaker rules. Turbotax free state file   To determine which person can treat the child as a qualifying child to claim these six tax benefits, the following tiebreaker rules apply. Turbotax free state file If only one of the persons is the child's parent, the child is treated as the qualifying child of the parent. Turbotax free state file If the parents file a joint return together and can claim the child as a qualifying child, the child is treated as the qualifying child of the parents. Turbotax free state file If the parents do not file a joint return together but both parents claim the child as a qualifying child, the IRS will treat the child as the qualifying child of the parent with whom the child lived for the longer period of time during the year. Turbotax free state file If the child lived with each parent for the same amount of time, the IRS will treat the child as the qualifying child of the parent who had the higher adjusted gross income (AGI) for the year. Turbotax free state file If no parent can claim the child as a qualifying child, the child is treated as the qualifying child of the person who had the highest AGI for the year. Turbotax free state file If a parent can claim the child as a qualifying child but no parent does so claim the child, the child is treated as the qualifying child of the person who had the highest AGI for the year, but only if that person's AGI is higher than the highest AGI of any of the child's parents who can claim the child. Turbotax free state file If the child's parents file a joint return with each other, this rule can be applied by dividing the parents' combined AGI equally between the parents. Turbotax free state file See Example 6 . Turbotax free state file   Subject to these tiebreaker rules, you and the other person may be able to choose which of you claims the child as a qualifying child. Turbotax free state file Example 1—child lived with parent and grandparent. Turbotax free state file You and your 3-year-old daughter Jane lived with your mother all year. Turbotax free state file You are 25 years old, unmarried, and your AGI is $9,000. Turbotax free state file Your mother's AGI is $15,000. Turbotax free state file Jane's father did not live with you or your daughter. Turbotax free state file You have not signed Form 8332 (or a similar statement) to release the child's exemption to the noncustodial parent. Turbotax free state file Jane is a qualifying child of both you and your mother because she meets the relationship, age, residency, support, and joint return tests for both you and your mother. Turbotax free state file However, only one of you can claim her. Turbotax free state file Jane is not a qualifying child of anyone else, including her father. Turbotax free state file You agree to let your mother claim Jane. Turbotax free state file This means your mother can claim Jane as a qualifying child for all of the six tax benefits listed earlier, if she qualifies (and if you do not claim Jane as a qualifying child for any of those tax benefits). Turbotax free state file Example 2—parent has higher AGI than grandparent. Turbotax free state file The facts are the same as in Example 1 except your AGI is $18,000. Turbotax free state file Because your mother's AGI is not higher than yours, she cannot claim Jane. Turbotax free state file Only you can claim Jane. Turbotax free state file Example 3—two persons claim same child. Turbotax free state file The facts are the same as in Example 1 except that you and your mother both claim Jane as a qualifying child. Turbotax free state file In this case, you, as the child's parent, will be the only one allowed to claim Jane as a qualifying child. Turbotax free state file The IRS will disallow your mother's claim to the six tax benefits listed earlier unless she has another qualifying child. Turbotax free state file Example 4—qualifying children split between two persons. Turbotax free state file The facts are the same as in Example 1 except you also have two other young children who are qualifying children of both you and your mother. Turbotax free state file Only one of you can claim each child. Turbotax free state file However, if your mother's AGI is higher than yours, you can allow your mother to claim one or more of the children. Turbotax free state file For example, if you claim one child, your mother can claim the other two. Turbotax free state file Example 5—taxpayer who is a qualifying child. Turbotax free state file The facts are the same as in Example 1 except you are only 18 years old and did not provide more than half of your own support for the year. Turbotax free state file This means you are your mother's qualifying child. Turbotax free state file If she can claim you as a dependent, then you cannot claim your daughter as a dependent because of the Dependent Taxpayer Test explained earlier. Turbotax free state file Example 6—child lived with both parents and grandparent. Turbotax free state file The facts are the same as in Example 1 except you are married to your daughter's father. Turbotax free state file The two of you live together with your daughter and your mother, and have an AGI of $20,000 on a joint return. Turbotax free state file If you and your husband do not claim your daughter as a qualifying child, your mother can claim her instead. Turbotax free state file Even though the AGI on your joint return, $20,000, is more than your mother's AGI of $15,000, for this purpose each parent's AGI can be treated as $10,000, so your mother's $15,000 AGI is treated as higher than the highest AGI of any of the child's parents who can claim the child. Turbotax free state file Example 7—separated parents. Turbotax free state file You, your husband, and your 10-year-old son lived together until August 1, 2013, when your husband moved out of the household. Turbotax free state file In August and September, your son lived with you. Turbotax free state file For the rest of the year, your son lived with your husband, the boy's father. Turbotax free state file Your son is a qualifying child of both you and your husband because your son lived with each of you for more than half the year and because he met the relationship, age, support, and joint return tests for both of you. Turbotax free state file At the end of the year, you and your husband still were not divorced, legally separated, or separated under a written separation agreement, so the rule for children of divorced or separated parents (or parents who live apart) does not apply. Turbotax free state file You and your husband will file separate returns. Turbotax free state file Your husband agrees to let you treat your son as a qualifying child. Turbotax free state file This means, if your husband does not claim your son as a qualifying child, you can claim your son as a qualifying child for the dependency exemption, child tax credit, and exclusion for dependent care benefits (if you qualify for each of those tax benefits). Turbotax free state file However, you cannot claim head of household filing status because you and your husband did not live apart for the last 6 months of the year. Turbotax free state file As a result, your filing status is married filing separately, so you cannot claim the earned income credit or the credit for child and dependent care expenses. Turbotax free state file Example 8—separated parents claim same child. Turbotax free state file The facts are the same as in Example 7 except that you and your husband both claim your son as a qualifying child. Turbotax free state file In this case, only your husband will be allowed to treat your son as a qualifying child. Turbotax free state file This is because, during 2013, the boy lived with him longer than with you. Turbotax free state file If you claimed an exemption or the child tax credit for your son, the IRS will disallow your claim to both these tax benefits. Turbotax free state file If you do not have another qualifying child or dependent, the IRS will also disallow your claim to the exclusion for dependent care benefits. Turbotax free state file In addition, because you and your husband did not live apart for the last 6 months of the year, your husband cannot claim head of household filing status. Turbotax free state file As a result, his filing status is married filing separately, so he cannot claim the earned income credit or the credit for child and dependent care expenses. Turbotax free state file Example 9—unmarried parents. Turbotax free state file You, your 5-year-old son, and your son's father lived together all year. Turbotax free state file You and your son's father are not married. Turbotax free state file Your son is a qualifying child of both you and his father because he meets the relationship, age, residency, support, and joint return tests for both you and his father. Turbotax free state file Your AGI is $12,000 and your son's father's AGI is $14,000. Turbotax free state file Your son's father agrees to let you claim the child as a qualifying child. Turbotax free state file This means you can claim him as a qualifying child for the dependency exemption, child tax credit, head of household filing status, credit for child and dependent care expenses, exclusion for dependent care benefits, and the earned income credit, if you qualify for each of those tax benefits (and if your son's father does not, in fact, claim your son as a qualifying child for any of those tax benefits). Turbotax free state file Example 10—unmarried parents claim same child. Turbotax free state file The facts are the same as in Example 9 except that you and your son's father both claim your son as a qualifying child. Turbotax free state file In this case, only your son's father will be allowed to treat your son as a qualifying child. Turbotax free state file This is because his AGI, $14,000, is more than your AGI, $12,000. Turbotax free state file If you claimed an exemption or the child tax credit for your son, the IRS will disallow your claim to both these tax benefits. Turbotax free state file If you do not have another qualifying child or dependent, the IRS will also disallow your claim to the earned income credit, head of household filing status, the credit for child and dependent care expenses, and the exclusion for dependent care benefits. Turbotax free state file Example 11—child did not live with a parent. Turbotax free state file You and your 7-year-old niece, your sister's child, lived with your mother all year. Turbotax free state file You are 25 years old, and your AGI is $9,300. Turbotax free state file Your mother's AGI is $15,000. Turbotax free state file Your niece's parents file jointly, have an AGI of less than $9,000, and do not live with you or their child. Turbotax free state file Your niece is a qualifying child of both you and your mother because she meets the relationship, age, residency, support, and joint return tests for both you and your mother. Turbotax free state file However, only your mother can treat her as a qualifying child. Turbotax free state file This is because your mother's AGI, $15,000, is more than your AGI, $9,300. Turbotax free state file Applying this special rule to divorced or separated parents (or parents who live apart). Turbotax free state file   If a child is treated as the qualifying child of the noncustodial parent under the rules described earlier for children of divorced or separated parents (or parents who live apart), only the noncustodial parent can claim an exemption and the child tax credit for the child. Turbotax free state file However, the custodial parent, if eligible, or other eligible person can claim the child as a qualifying child for head of household filing status, the credit for child and dependent care expenses, the exclusion for dependent care benefits, and the earned income credit. Turbotax free state file If the child is the qualifying child of more than one person for these benefits, then the tiebreaker rules just explained determine which person can treat the child as a qualifying child. Turbotax free state file Example 1. Turbotax free state file You and your 5-year-old son lived all year with your mother, who paid the entire cost of keeping up the home. Turbotax free state file Your AGI is $10,000. Turbotax free state file Your mother's AGI is $25,000. Turbotax free state file Your son's father did not live with you or your son. Turbotax free state file Under the rules explained earlier for children of divorced or separated parents (or parents who live apart), your son is treated as the qualifying child of his father, who can claim an exemption and the child tax credit for him. Turbotax free state file Because of this, you cannot claim an exemption or the child tax credit for your son. Turbotax free state file However, your son's father cannot claim your son as a qualifying child for head of household filing status, the credit for child and dependent care expenses, the exclusion for dependent care benefits, or the earned income credit. Turbotax free state file You and your mother did not have any child care expenses or dependent care benefits, so neither of you can claim the credit for child and dependent care expenses or the exclusion for dependent care benefits. Turbotax free state file But the boy is a qualifying child of both you and your mother for head of household filing status and the earned income credit because he meets the relationship, age, residency, support, and joint return tests for both you and your mother. Turbotax free state file (Note: The support test does not apply for the earned income credit. Turbotax free state file ) However, you agree to let your mother claim your son. Turbotax free state file This means she can claim him for head of household filing status and the earned income credit if she qualifies for each and if you do not claim him as a qualifying child for the earned income credit. Turbotax free state file (You cannot claim head of household filing status because your mother paid the entire cost of keeping up the home. Turbotax free state file ) Example 2. Turbotax free state file The facts are the same as in Example 1 except your AGI is $25,000 and your mother's AGI is $21,000. Turbotax free state file Your mother cannot claim your son as a qualifying child for any purpose because her AGI is not higher than yours. Turbotax free state file Example 3. Turbotax free state file The facts are the same as in Example 1 except you and your mother both claim your son as a qualifying child for the earned income credit. Turbotax free state file Your mother also claims him as a qualifying child for head of household filing status. Turbotax free state file You, as the child's parent, will be the only one allowed to claim your son as a qualifying child for the earned income credit. Turbotax free state file The IRS will disallow your mother's claim to the earned income credit and head of household filing status unless she has another qualifying child. Turbotax free state file Qualifying Relative Four tests must be met for a person to be your qualifying relative. Turbotax free state file The four tests are: Not a qualifying child test, Member of household or relationship test, Gross income test, and Support test. Turbotax free state file Age. Turbotax free state file   Unlike a qualifying child, a qualifying relative can be any age. Turbotax free state file There is no age test for a qualifying relative. Turbotax free state file Kidnapped child. Turbotax free state file   You may be able to treat a child as your qualifying relative even if the child has been kidnapped. Turbotax free state file See Publication 501 for details. Turbotax free state file Not a Qualifying Child Test A child is not your qualifying relative if the child is your qualifying child or the qualifying child of any other taxpayer. Turbotax free state file Example 1. Turbotax free state file Your 22-year-old daughter, who is a student, lives with you and meets all the tests to be your qualifying child. Turbotax free state file She is not your qualifying relative. Turbotax free state file Example 2. Turbotax free state file Your 2-year-old son lives with your parents and meets all the tests to be their qualifying child. Turbotax free state file He is not your qualifying relative. Turbotax free state file Example 3. Turbotax free state file Your son lives with you but is not your qualifying child because he is 30 years old and does not meet the age test. Turbotax free state file He may be your qualifying relative if the gross income test and the support test are met. Turbotax free state file Example 4. Turbotax free state file Your 13-year-old grandson lived with his mother for 3 months, with his uncle for 4 months, and with you for 5 months during the year. Turbotax free state file He is not your qualifying child because he does not meet the residency test. Turbotax free state file He may be your qualifying relative if the gross income test and the support test are met. Turbotax free state file Child of person not required to file a return. Turbotax free state file   A child is not the qualifying child of any other taxpayer and so may qualify as your qualifying relative if the child's parent (or other person for whom the child is defined as a qualifying child) is not required to file an income tax return and either: Does not file an income tax return, or Files a return only to get a refund of income tax withheld or estimated tax paid. Turbotax free state file Example 1—return not required. Turbotax free state file You support an unrelated friend and her 3-year-old child, who lived with you all year in your home. Turbotax free state file Your friend has no gross income, is not required to file a 2013 tax return, and does not file a 2013 tax return. Turbotax free state file Both your friend and her child are your qualifying relatives if the support test is met. Turbotax free state file Example 2—return filed to claim refund. Turbotax free state file The facts are the same as in Example 1 except your friend had wages of $1,500 during the year and had income tax withheld from her wages. Turbotax free state file She files a return only to get a refund of the income tax withheld and does not claim the earned income credit or any other tax credits or deductions. Turbotax free state file Both your friend and her child are your qualifying relatives if the support test is met. Turbotax free state file Example 3—earned income credit claimed. Turbotax free state file The facts are the same as in Example 2 except your friend had wages of $8,000 during the year and claimed the earned income credit on her return. Turbotax free state file Your friend's child is the qualifying child of another taxpayer (your friend), so you cannot claim your friend's child as your qualifying relative. Turbotax free state file Child in Canada or Mexico. Turbotax free state file   You may be able to claim your child as a dependent even if the child lives in Canada or Mexico. Turbotax free state file If the child does not live with you, the child does not meet the residency test to be your qualifying child. Turbotax free state file However, the child may still be your qualifying relative. Turbotax free state file If the persons the child does live with are not U. Turbotax free state file S. Turbotax free state file citizens and have no U. Turbotax free state file S. Turbotax free state file gross income, those persons are not “taxpayers,” so the child is not the qualifying child of any other taxpayer. Turbotax free state file If the child is not the qualifying child of any other taxpayer, the child is your qualifying relative as long as the gross income test and the support test are met. Turbotax free state file   You cannot claim as a dependent a child who lives in a foreign country other than Canada or Mexico, unless the child is a U. Turbotax free state file S. Turbotax free state file citizen, U. Turbotax free state file S. Turbotax free state file resident alien, or U. Turbotax free state file S. Turbotax free state file national. Turbotax free state file There is an exception for certain adopted children who lived with you all year. Turbotax free state file See Citizen or Resident Test , earlier. Turbotax free state file Example. Turbotax free state file You provide all the support of your children, ages 6, 8, and 12, who live in Mexico with your mother and have no income. Turbotax free state file You are single and live in the United States. Turbotax free state file Your mother is not a U. Turbotax free state file S. Turbotax free state file citizen and has no U. Turbotax free state file S. Turbotax free state file income, so she is not a “taxpayer. Turbotax free state file ” Your children are not your qualifying children because they do not meet the residency test. Turbotax free state file But since they are not the qualifying children of any other taxpayer, they are your qualifying relatives and you can claim them as dependents. Turbotax free state file You may also be able to claim your mother as a dependent if the gross income and support tests are met. Turbotax free state file Member of Household or Relationship Test To meet this test, a person must either: Live with you all year as a member of your household, or Be related to you in one of the ways listed under Relatives who do not have to live with you . Turbotax free state file If at any time during the year the person was your spouse, that person cannot be your qualifying relative. Turbotax free state file However, see Personal Exemptions , earlier. Turbotax free state file Relatives who do not have to live with you. Turbotax free state file   A person related to you in any of the following ways does not have to live with you all year as a member of your household to meet this test. Turbotax free state file Your child, stepchild, foster child, or a descendant of any of them (for example, your grandchild). Turbotax free state file (A legally adopted child is considered your child. Turbotax free state file ) Your brother, sister, half brother, half sister, stepbrother, or stepsister. Turbotax free state file Your father, mother, grandparent, or other direct ancestor, but not foster parent. Turbotax free state file Your stepfather or stepmother. Turbotax free state file A son or daughter of your brother or sister. Turbotax free state file A son or daughter of your half brother or half sister. Turbotax free state file A brother or sister of your father or mother. Turbotax free state file Your son-in-law, daughter-in-law, father-in-law, mother-in-law, brother-in-law, or sister-in-law. Turbotax free state file Any of these relationships that were established by marriage are not ended by death or divorce. Turbotax free state file Example. Turbotax free state file You and your wife began supporting your wife's father, a widower, in 2006. Turbotax free state file Your wife died in 2012. Turbotax free state file Despite your wife's death, your father-in-law continues to meet this test, even if he does not live with you. Turbotax free state file You can claim him as a dependent if all other tests are met, including the gross income test and support test. Turbotax free state file Foster child. Turbotax free state file   A foster child is an individual who is placed with you by an authorized placement agency or by judgment, decree, or other order of any court of competent jurisdiction. Turbotax free state file Joint return. Turbotax free state file   If you file a joint return, the person can be related to either you or your spouse. Turbotax free state file Also, the person does not need to be related to the spouse who provides support. Turbotax free state file   For example, your spouse's uncle who receives more than half of his support from you may be your qualifying relative, even though he does not live with you. Turbotax free state file However, if you and your spouse file separate returns, your spouse's uncle can be your qualifying relative only if he lives with you all year as a member of your household. Turbotax free state file Temporary absences. Turbotax free state file   A person is considered to live with you as a member of your household during periods of time when one of you, or both, are temporarily absent due to special circumstances such as: Illness, Education, Business, Vacation, or Military service. Turbotax free state file   If the person is placed in a nursing home for an indefinite period of time to receive constant medical care, the absence may be considered temporary. Turbotax free state file Death or birth. Turbotax free state file   A person who died during the year, but lived with you as a member of your household until death, will meet this test. Turbotax free state file The same is true for a child who was born during the year and lived with you as a member of your household for the rest of the year. Turbotax free state file The test is also met if a child lived with you as a member of your household except for any required hospital stay following birth. Turbotax free state file   If your dependent died during the year and you otherwise qualify to claim an exemption for the dependent, you can still claim the exemption. Turbotax free state file Example. Turbotax free state file Your dependent mother died on January 15. Turbotax free state file She met the tests to be your qualifying relative. Turbotax free state file The other tests to claim an exemption for a dependent were also met. Turbotax free state file You can claim an exemption for her on your return. Turbotax free state file Local law violated. Turbotax free state file   A person does not meet this test if at any time during the year the relationship between you and that person violates local law. Turbotax free state file Example. Turbotax free state file Your girlfriend lived with you as a member of your household all year. Turbotax free state file However, your relationship with her violated the laws of the state where you live, because she was married to someone else. Turbotax free state file Therefore, she does not meet this test and you cannot claim her as a dependent. Turbotax free state file Adopted child. Turbotax free state file   An adopted child is always treated as your own child. Turbotax free state file The term “adopted child” includes a child who was lawfully placed with you for legal adoption. Turbotax free state file Cousin. Turbotax free state file   Your cousin meets this test only if he or she lives with you all year as a member of your household. Turbotax free state file A cousin is a descendant of a brother or sister of your father or mother. Turbotax free state file Gross Income Test To meet this test, a person's gross income for the year must be less than $3,900. Turbotax free state file Gross income defined. Turbotax free state file   Gross income is all income in the form of money, property, and services that is not exempt from tax. Turbotax free state file   In a manufacturing, merchandising, or mining business, gross income is the total net sales minus the cost of goods sold, plus any miscellaneous income from the business. Turbotax free state file   Gross receipts from rental property are gross income. Turbotax free state file Do not deduct taxes, repairs, or other expenses, to determine the gross income from rental property. Turbotax free state file   Gross income includes a partner's share of the gross (not a share of the net) partnership income. Turbotax free state file    Gross income also includes all taxable unemployment compensation and certain scholarship and fellowship grants. Turbotax free state file Scholarships received by degree candidates and used for tuition, fees, supplies, books, and equipment required for particular courses generally are not included in gross income. Turbotax free state file For more information about scholarships, see chapter 12. Turbotax free state file   Tax-exempt income, such as certain social security benefits, is not included in gross income. Turbotax free state file Disabled dependent working at sheltered workshop. Turbotax free state file   For purposes of the gross income test, the gross income of an individual who is permanently and totally disabled at any time during the year does not include income for services the individual performs at a sheltered workshop. Turbotax free state file The availability of medical care at the workshop must be the main reason for the individual's presence there. Turbotax free state file Also, the income must come solely from activities at the workshop that are incident to this medical care. Turbotax free state file   A “sheltered workshop” is a school that: Provides special instruction or training designed to alleviate the disability of the individual, and Is operated by certain tax-exempt organizations, or by a state, a U. Turbotax free state file S. Turbotax free state file possession, a political subdivision of a state or possession, the United States, or the District of Columbia. Turbotax free state file “Permanently and totally disabled” has the same meaning here as under Qualifying Child, earlier. Turbotax free state file Support Test (To Be a Qualifying Relative) To meet this test, you generally must provide more than half of a person's total support during the calendar year. Turbotax free state file However, if two or more persons provide support, but no one person provides more than half of a person's total support, see Multiple Support Agreement , later. Turbotax free state file How to determine if support test is met. Turbotax free state file   You figure whether you have provided more than half of a person's total support by comparing the amount you contributed to that person's support with the entire amount of support that person received from all sources. Turbotax free state file This includes support the person provided from his or her own funds. Turbotax free state file   You may find Worksheet 3-1 helpful in figuring whether you provided more than half of a person's support. Turbotax free state file Person's own funds not used for support. Turbotax free state file   A person's own funds are not support unless they are actually spent for support. Turbotax free state file Example. Turbotax free state file Your mother received $2,400 in social security benefits and $300 in interest. Turbotax free state file She paid $2,000 for lodging and $400 for recreation. Turbotax free state file She put $300 in a savings account. Turbotax free state file Even though your mother received a total of $2,700 ($2,400 + $300), she spent only $2,400 ($2,000 + $400) for her own support. Turbotax free state file If you spent more than $2,400 for her support and no other support was received, you have provided more than half of her support. Turbotax free state file Child's wages used for own support. Turbotax free state file   You cannot include in your contribution to your child's support any support paid for by the child with the child's own wages, even if you paid the wages. Turbotax free state file Year support is provided. Turbotax free state file   The year you provide the support is the year you pay for it, even if you do so with borrowed money that you repay in a later year. Turbotax free state file   If you use a fiscal year to report your income, you must provide more than half of the dependent's support for the calendar year in which your fiscal year begins. Turbotax free state file Armed Forces dependency allotments. Turbotax free state file   The part of the allotment contributed by the government and the part taken out of your military pay are both considered provided by you in figuring whether you provide more than half of the support. Turbotax free state file If your allotment is used to support persons other than those you name, you can take the exemptions for them if they otherwise qualify. Turbotax free state file Example. Turbotax free state file You are in the Armed Forces. Turbotax free state file You authorize an allotment for your widowed mother that she uses to support herself and her sister. Turbotax free state file If the allotment provides more than half of each person's support, you can take an exemption for each of them, if they otherwise qualify, even though you authorize the allotment only for your mother. Turbotax free state file Tax-exempt military quarters allowances. Turbotax free state file   These allowances are treated the same way as dependency allotments in figuring support. Turbotax free state file The allotment of pay and the tax-exempt basic allowance for quarters are both considered as provided by you for support. Turbotax free state file Tax-exempt income. Turbotax free state file   In figuring a person's total support, include tax-exempt income, savings, and borrowed amounts used to support that person. Turbotax free state file Tax-exempt income includes certain social security benefits, welfare benefits, nontaxable life insurance proceeds, Armed Forces family allotments, nontaxable pensions, and tax-exempt interest. Turbotax free state file Example 1. Turbotax free state file You provide $4,000 toward your mother's support during the year. Turbotax free state file She has earned income of $600, nontaxable social security benefits of $4,800, and tax-exempt interest of $200. Turbotax free state file She uses all these for her support. Turbotax free state file You cannot claim an exemption for your mother because the $4,000 you provide is not more than half of her total support of $9,600 ($4,000 + $600 + $4,800 + $200). Turbotax free state file Example 2. Turbotax free state file Your niece takes out a student loan of $2,500 a