How to Claim Your Child as a Dependent When Separated or Divorced

Determining which parent can claim a child as a dependent on an income tax return can be difficult now that courts are striving for 50-50 custody and visitation.

Difficulty: Moderate

Instructions

Things You'll Need:

• Financial Statements
• Financial Calculator
• File Folders
• Paper And Pencils
• Computers
• Tax Preparation Software

1. Read all legal papers signed by you or the courts. Legal documents, which are generally controlling, often state which parent can claim a child as a dependent every year or alternate years.

2. Determine if you and the other parent together provided more than 50 percent of the costs of raising your child during the year. If a third person or governmental agency other than the Social Security Administration paid the greater share of support costs, neither parent can automatically claim your child as a dependent.

3. Determine if you had physical custody of your child at least 183 days during the year (184 days during a leap year). If you did, you can claim your child provided that no legal document states otherwise and you and the other parent together paid for more than half of your child's support costs.

4. Determine if you or the other parent are willing to give up the right to claim your child as a dependent on this year's or any year's returns. Either parent may transfer this right to the other parent for any or all years by filling out and signing IRS Form 8332.

Tips & Warnings

• When a legal document states your right to claim your child, include proof with your tax return. For example, staple the first and last pages and the pertinent page of a divorce decree to the back of your return.
• Attach the original, signed Form 8332 to your tax return if the other parent gave you the right to claim your child.
• With shared custody and a less-than-harmonious relationship with your child's other parent, mark on a calendar the days you had physical custody. Add up the days at the end of the year to determine if you had custody at least 183 days (184 days in the year 2000). Keep the calendar as evidence if your claim is contested.
• Keep extra copies of legal documents and Form 8332 in a folder stored with your tax papers for future reference and use.
• If a legal decree or agreement was signed prior to 1985, you cannot claim your child as a dependent unless you contributed at least $600 during the year toward your child's support.
• Consult with an experienced tax preparer if you have questions or a complex or unusual situation.