2007-01-06 21:44:31 · 2 answers · asked by Micah 1 in Business & Finance ➔ Taxes ➔ United States
If the child was born on Jan 1, 2007, no, its not a dependent for your tax returns for 2006. But it is a dependent for 2007, that you'll complete in 2008.
2007-01-06 21:51:08 · answer #1 · answered by bakfanlin 6 · 3⤊ 0⤋
Silly perception parents have is that if baby is born on New Year's day, it's a lucky New Year baby.
Tax-smart parents tell the doctor "make sure the baby is born before midnight on December 31". This way the baby is good for a 2006 tax deduction even though the baby was only alive for a few minutes in 2006. Depending on your income, the baby can put an extra $500 to $3000 in lucky parents' bank account for 2006. But baby born in 2007? sorry...gotta wait til next year.
The WealthBuilder
Tax Specialist
2007-01-07 01:26:51 · answer #2 · answered by WealthBuilder 4 · 1⤊ 0⤋