Follow-up question: "A tax question, please help?"?

Question

I asked a question about an hour ago:
http://answers.yahoo.com/question/index;_ylt=Am5pHALh_qX9uw5zP1ofJoXsy6IX?qid=20070728124408AAvGwPP

Most responses said that I need to provide more than half of his support. Here I add my situation:

1. I live with my parents. We are 4 people in family.
2. Monthly rent is $1060. Every month I pay $540 or more as rent, where the rest ($520) is paid by my dad. And I've been doing that from the beginning of 2007.

So basically I am paying more part of the total rent. I also occasionally pay for food and other stuff. Does that consider as that I am paying more than half support of my brother?

Answer 1

It's more than rent it's food, clothing, medical, dental,recreation, school supplies, all the resources he uses.

I've seen a worksheet From a Liberty Tax office to help you calculate it correctly. I think they usually provide it free. At least the one down the road from me does.

Answer 2

Your parents can claim your brother unless your brother is paying more than half of his own support. Unless you are paying more than half of your own support they can claim you as well if you are 18 or under or 23 or under and a full-time student. Chipping in a bit over than half of the total rent and a little food sometimes does not add up to more than half of your OWN support.

The short answer to the whole thing is that your parents file a joint return and claim both you and your brother as dependents. You and your brother lose your personal exemptions until such time as you EACH pay more than half of your OWN support OR move out of the family home permanently. Period!

As to your other question, you don't need to claim a dependent to qualify for financial aid for college.

Answer 3

If parents qualify, then they have first right to claim a child. If your brother is under age 19 (or under 24 and a full-time student), lived with your parents for over half the year, and he didn't provide over half of his own support, then your parents can claim him. You can only claim him if they don't - and that is true no matter how much of the total support of the household, or your brother's support, you provide - even if you provided ALL of his support, which you don't, they would still have the first right to claim him. And no, you probably are not providing half of your brother's support - but even if you were, it wouldn't matter, and the people who said differently are WRONG.

You might or might not be providing half of your own support, so they might be able to claim you also but that's a closer call.

Answer 4

You should speak to the IRS office. You can call one locally.
They are usually quite helpful and can/will explain the criteria.
The other alternative is a CPA.
What you are doing can involve more than most here can answer. There are fixed rules for this.