What Are the Rules for Claiming a Dependent on Your Tax Return?

Brookline, NH Resident Seeks Advice

There are tax deductions for those that have dependents living full-time in their household, the most common of which is the Child Tax Credit and Child and Dependent Care Credit.  To qualify as a dependent, this can be a child that is under age 19 or under 24 if they are a full-time student.  If the child is permanently disabled, you can qualify for these deductions regardless of age.  Caring for aging relatives that are living in your home may also qualify for a tax deduction as a dependent if you are financially supporting them.

A Brookline resident was having his aging mother move into his residence so that he and his wife could offer her the proper care that she needed.  Wondering if he might be able to take advantage of any tax deductions from this change, he contacted the Merrimack Tax Associates team.

Qualifications to Be Considered a Dependent on Your Tax Return

To qualify as a dependent, the individual must be a resident of the United States.  You must also be the only person claiming the person as a dependent.  This can get a little tricky with divorced parents, who may want to claim their children on their taxes.  Only one filer can take advantage of this deduction for each tax year.  The dependent must live with you for more than half of the year and must not be financially able to provide more than half of their own monetary support.  In 2021 a dependent’s income could not exceed $4,300.

Adults can be claimed on your taxes as dependents if they meet the necessary requirements.  Their annual gross income cannot exceed $4,300.  The individual must be living with you in the household, and you are providing the majority of the financial support.  Adult children with a permanent disability can also qualify as a dependent, regardless of their age.

Thanks to Merrimack Tax Associates, the homeowner in Brookline now has a better understanding of what qualifies as a dependent when filing his tax return.