2006-08-30 03:51:49 · 13 answers · asked by GABRIELLA 3 in Business & Finance ➔ Taxes ➔ United States
does it matter if i live with my parents still but they are filing separately?
2006-08-30 03:56:53 · update #1
There isn't enough information. Are you married? If so, where is the child's father and what does he make? What is your parent's income situation? How many childred do you have and do they live with you? How much income do you have? Who else lives in the household?
Believe it or not, there are many ways for you and your parents to file your taxes if you live with your parents and your childres. The best bet is to spend a few bucks and go to a tax preparer with everyone and let them figure it out. The difference in who claims whom can be thousands of dollars. This is no joke...I do taxes and see this all the time. People think they are the best ones to claim their children, but sometimes, it turns out that their parents could have claim the child and got back thousands more. And the old law which used to say that the only person who could claim a child was the one paying at least 50% of the support no longer exists as of last year. The new law is more flexible, but more confusing.
That being said, assuming the child's father is not in the picture and you are making less then $30,000 per year and your parents are either retired or making more than you, then IN GENERAL, you should file single (assuming you aren't married) and claim the child.
If you are married, it is illegal to file as single. And, contrary to what you may hear, it is also illegal to file as Head of Household unless you are paying over 1/2 the costs of the entire household. Chances are your parents are paying more than 1/2 the costs of the household. Therefore, assuming you are married and not paying 1/2 the costs of the household, you may want to get with your spouse and file jointly. Otherwise, you are going to have to file as "Married Filing Separate" in which case your parents may be better off claiming your child. I've seen lots of people file as Head of Household only to get a letter from the IRS asking them to prove they provide more than 1/2 of the household expenses. If you are the only one making money in the home, this is easy. If someone else in the household earns money, and in particular, earns more than you, then be prepared to discuss the matter with the IRS.
I know this sounds very confusing... it is. You can thank congress. There is no easy answer other than "Go see a tax professional that knows what they are talking about". It could be the difference of thousands of dollars and it could also save you from an unwelcomed audit. If you aren't married and living in a place with just you and your child, then your choices are much more limited and I would recommend just doing your taxes yourself.
2006-08-30 09:14:28 · answer #1 · answered by TaxMan 5 · 0⤊ 0⤋
yes it is possible, but you cannot file head of house, unless you make more money than your parents do. If they make more money than you, they may be able to claim your child. All they need to do is prove that they support you and your child over 50%. Also, if you are still a student, your parents have a right to claim you and your child. If they cant claim either of you, you would file as single with a dependent. You might be eligible for the earned income credit, depending on how much money you earn during the year.
2006-08-31 00:23:30 · answer #2 · answered by goofybored 2 · 0⤊ 0⤋
yes, I get a lot more back now than I did when I was single and working 2 jobs
but if you are entitled to a very large refund at the end of the year, you can have it worked out so you get more money throughout the year (ie: less is deducted from your paycheck each week) and a smaller refund at the end
that's what I did because the money comes in handy for expenses throughout the year, I'm not one who goes and blows my refund on a shopping spree or large item
well, living with your parents may change things
2006-08-30 10:59:27 · answer #3 · answered by angelbaby 7 · 0⤊ 0⤋
Yes, since the child is a dependent you will receive a larger deduction on your income taxes than merely filing single with no dependents.
2006-08-30 10:54:03 · answer #4 · answered by gjjr2004 3 · 0⤊ 0⤋
You do if you make little enough money to qualify for the earned income credit. And no, it does not matter whether you live with your parents or not.
You also have to file head of household and cannot be claimed on someone else's return.
2006-08-30 12:38:58 · answer #5 · answered by Zelda 6 · 0⤊ 1⤋
Don't forget to check on the Earned Income Credit, to see if you qualify for that as well. Yes, you will get a larger refund.
2006-08-30 10:57:30 · answer #6 · answered by curiositycat 6 · 0⤊ 0⤋
you need to file for an EIC (earned income credit) if you have children if you want to get your child credit and most people who file for it get back everything they put in , in some cases alittle extra...
Good Luck
2006-08-30 11:03:26 · answer #7 · answered by ? 3 · 0⤊ 0⤋
The child has to exist, in case you were wondering.
2006-08-30 12:49:51 · answer #8 · answered by misslabeled 7 · 0⤊ 0⤋
Yes, you will get a head of household break which can be around $2000.00.
2006-08-30 10:53:52 · answer #9 · answered by Anonymous · 0⤊ 0⤋
Yes, you will based on your income you can get $2,000 or a little more.
2006-08-30 10:55:06 · answer #10 · answered by kitcat 6 · 0⤊ 0⤋