I have a friend who is unemployed and would be willing to let me claim her three children. Is this legal even though I only claim one on my W-2's? Also, I donated a car to an organization earlier this year and would like to know how that works? DO I get money taken off of what I owe...?? HELP!! Thanks~
2007-01-29 06:33:36 · 3 answers · asked by politicalsruh 1 in Business & Finance ➔ Taxes ➔ United States
You can only claim someone as a dependent if you provided more than 50% of their total support (rent, food, clothing, school, etc.) You'll need verification of all expenses.
When you donated a car, you should have received a receipt. You can deduct the fair market value of the car. It doesn't come off of what you owe; it just reduces the amount of taxable income.
2007-01-29 06:41:48 · answer #1 · answered by Anonymous · 0⤊ 1⤋
Unless the dependents you are claiming are either related to you or lived in YOUR HOUSEHOLD for the entire year AND you provided more than half of their actual support you may NOT claim them. The wording of the question indicates that you are not living with this person or supporting her children so you may not claim any of them as dependents.
If you donated a car to a qualified charity, you should have received a letter from them acknowledging the donation and lising the amount of money that they received when they sold it. You may deduct that amount on Schedule A along with your other itemized deductions.
2007-01-29 14:48:51 · answer #2 · answered by Bostonian In MO 7 · 1⤊ 0⤋
It's illegal. You cannot claim anyone who's not related to you anyway. To claim someone, they have to be related to you, live under your roof, and you must provide at least 50% support to them.
2007-01-29 14:41:36 · answer #3 · answered by Anonymous · 0⤊ 1⤋