My fiance's mom is planning on claiming her granddaughter and the mom on her taxes but the girl's mom may claim both of them two. What would happen and who would get to claim them? One is going to have the girl sign a form saying that she has premission to claim them, and the other doesn't. But they have lived with my fiance's mom since the beginning of April. I'm just wondering, because I was told whoever filed first would get it and I was just trying to find out if she needed to go ahead and file or what.
2007-01-24 15:46:08 · 8 answers · asked by Denise W 2 in Business & Finance ➔ Taxes ➔ United States
Both people would be required to amend their tax returns. Only one person can claim a dependent. It may take up to year, but the IRS will catch the duplication and send out notices to both.
Its better for them to talk to a tax consultant and figure it out now instead of later. Interest and fees add up!
2007-01-24 16:49:09 · answer #1 · answered by Older Sister 4 · 0⤊ 0⤋
If they both try to efile, the first one to file will have their return accepted, the second will be rejected and have to file by mail. This doesn't mean the first person to file gets the exemption and wins - it just means that when they filed, the IRS didn't know yet that someone else was going to.
At some time after that, could be a couple weeks or could be a year or more, both will get a letter from the IRS telling them that someone else claimed the same person. Each person then has to either amend their return without that exemption and pay back whatever tax benefits they got from claiming the person, or else show that they're the one legally entitled to claim the exemption.
There are specific rules on who can claim a dependent, and specific rules on who gets the exemption if two people are legally entitled to claim the same person, since only one can. The IRS has what they call "tie-breaker rules".
Your fiance's mom should go ahead and file. And since they've been living with her more than half of the year, she should claim them and see what happens. The other grandma, since they didn't live with her, would have to show that she provided more than half of their support to claim them, which sounds unlikely, so your fiance's mom would have a real good chance of winning unless the other grandma was providing a lot of financial support.
2007-01-24 17:19:09 · answer #2 · answered by Judy 7 · 0⤊ 1⤋
The grandchild and her mother lived with your fiance's mother for 9 months in 2006. The only people who could claim the grandchild are:
1. The grandchild's mother
2. Fiance's mother
3. The grandchild's father, as long as the mother signs Form 8332 allowing him to claim the grandchild.
The grandmother who did not live with the grandchild and the grandchild's mother cannot claim either the grandchild or the grandchild's mother.
Neither grandmother can be assigned the dependency exemption by the grandchild's parents. Only the parents can assign the dependency exemption between themselves.
If two people both try to claim the same dependent, the second return to be filed will be rejected. At that point, the person whose return was rejected has to file a paper return with documentation that the claimed dependents are legitimate.
So your fiance's mom should hurry and file to avoid possible problems.
2007-01-24 16:45:08 · answer #3 · answered by ninasgramma 7 · 1⤊ 1⤋
The parent who has primary physical custody of the child generally gets to claim them, unless there's some kind of divorce decree or other court order that rules otherwise. Your math is a bit off in your question. You say you moved in with your mom on August 16, and then you say it's been over six months since you've been there. Um. No, it hasn't. It hasn't even been five months yet. What matters is who you lived with the most during the tax year, which is the same as the calendar year. If you didn't move in with your mom until August, then you lived MOST of the year with your other parent, and that parent is the one who is legally entitled to claim you as a dependent for 2009. If both parents claim you on their taxes, the IRS will investigate and award the deduction to the parent who's legally entitled to it.
2016-05-24 06:28:50 · answer #4 · answered by Anonymous · 0⤊ 0⤋
If both will e-file, then it is first come first serve. If the loser (of the race to file first) decides to fight it, they will have to file by mail. Once the IRS has a chance to figure things out, the loser will get a letter stating that a dependent(s) on their return was claimed by someone else. At that point, the loser's best bet is to send a copy of their return, the letter the IRS sent, and proof that they are lawfully allowed to claim the dependent(s) to the Taxpayer Advocate division of the IRS. It could easily take several months to get it all straightened out. I have done this for a few clients.
2007-01-24 16:18:58 · answer #5 · answered by Lee 5 · 1⤊ 0⤋
This just happened to me, the IRS will send you both a love note saying that you need to re-file that years tax forms to reflect the difference in the deduction…
2007-01-24 16:04:52 · answer #6 · answered by bruner89 2 · 0⤊ 0⤋
If the child lived with either one of them during the year, they both have the authority to claim her but only one can. If there was ever an audit on either one of them, they would both be questioned.
2007-01-24 15:56:02 · answer #7 · answered by busemomme 5 · 0⤊ 0⤋
the person who claims her must provide for over half of the support and live with her for more than half the year
2007-01-24 15:57:09 · answer #8 · answered by marwinstonboro 2 · 0⤊ 1⤋