Every month we send money to the Philippines for the wife's parents and siblings. They are essentially our dependents for practical purposes. Is it possible to deduct them on our tax return? I ask because I overheard that lots of Mexicans are deducting their kids in Mexico as a tax deduction on US returns.
2007-04-08 03:25:32 · 6 answers · asked by David S 1 in Business & Finance ➔ Taxes ➔ United States
As has been suggested by another user, one of the tests that must be satisfied is the Citizen or Residency Test, which states, "You cannot claim a person as a dependent unless that person is a U.S. citizen, U.S. resident alien, U.S. national, or a resident of Canada or Mexico, for some part of the year..."
Relatives in Philippines, who do not comply with the above rule, therefore, do not satisfy that test and may not be claimed as a dependent on the U.S. Individual Income Tax Return.
Phil
http://www.phillipfostercpa.com/tax.html
2007-04-08 04:13:26 · answer #1 · answered by phillipfostercpa 3 · 1⤊ 0⤋
To be a tax dependent the person has to satisfy citizenship or residency requirements. This includes citizenship or residency in US, Canada, or Mexico.
So persons who support family members in Mexico may be able to take a dependency deduction. Unfortunately, no other countries satisfy the residency requirement for a tax dependent.
2007-04-08 03:43:41 · answer #2 · answered by ninasgramma 7 · 2⤊ 0⤋
Probably not. If it is her siblings and/or parents the money you send back is just a gift. The other situation you mentioned about the mexican kids, well kids usually are legal dependants. There are several requirements listed in the Tax instructions to see for sure if they can be lasted or not.
2007-04-08 03:34:09 · answer #3 · answered by ttpawpaw 7 · 0⤊ 0⤋
No! A spouse is NEVER a dependent. The EIC is paid based upon the number of Qualifying Children on your return. Your wife can never be your Qualifying Child! Nor can you claim the EIC if anyone on the return is using an ITIN. You both must have SSNs valid for work in the US.
2016-05-19 23:47:29 · answer #4 · answered by ? 3 · 0⤊ 0⤋
You can deduct only if they are living with you.
Some people may do it. It is like speeding. You do it as long as you don't caught.
2007-04-08 03:39:32 · answer #5 · answered by kenneth h 6 · 0⤊ 1⤋
no, has to be here in usa
2007-04-08 03:40:33 · answer #6 · answered by Anonymous · 0⤊ 1⤋