My fiance and I just had a baby. We were going to get married before the end of the year but due to certain circumstances we will marry next spring. Anyways, we live together and as such we jointly provide for our child. He makes 3x as much as I do, but I gross less than 11,000/year. I will also be starting grad school in the fall. In terms of the financial aid for my education and our individual incomes, who should claim our son. Again there is no primary caretaker or custodial parent on account of us living together.
2007-10-22 15:27:23 · 13 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
Run both scenarios to find which results in the least taxes paid.
It's either him because he is in a larger tax bracket... or you because you would probably qualify for claiming HOH (Head of household), which would qualify you for the EIC (Earned income credit).
2007-10-23 05:12:50 · answer #1 · answered by Anonymous · 1⤊ 1⤋
Figure your taxes both ways, and however you pay the least taxes between you would be the way to file. He would have the higher tax rate, and could take the full child tax credit, and probably claim head of household, if he claims the baby. But you would get an Earned Income Credit if you claim the baby that might more than compensate for the savings he would get. So figure it both ways.
2007-10-22 22:38:01 · answer #2 · answered by Judy 7 · 1⤊ 0⤋
do two seperate tax forms and see who the winner is. submit the tax form that brings in the most money. i suggest you claim your child. when you bring in less money you can claim more on your taxes for child credits and if you pay a babysitter take it off your taxes. i make over 60,000 a year as a single parent and dont receive child support. i cannot deduct the babysitter claim becouse of her age now. but when i could it really didnt come out to much but a couple houndred dollars and a babysitter that was going to owe the tax man. she said if i claimed her she had no problem with that but she would raise my fee. read the tax books well my friend before you let the man take the child credit.
2007-10-22 22:34:12 · answer #3 · answered by Ida 5 · 1⤊ 0⤋
For financial aid purposes, you. Also for tax purposes too. It lowers your tax rate to Head of Household status and makes you eligible for the Earned Income Credit. In 2007, you must make more than $14,650 to owe federal tax, and carrying that child on your return will exempt you from tax and get you a full refund of all taxes paid if you do not make more than $14,650 this year. $14,650=7850 (Standard Deduction for Head of Houselhold filing status) + 3400 (Your personal exemption) + 3400 (personal exemption for the baby).
2007-10-23 19:29:08 · answer #4 · answered by Anonymous · 1⤊ 1⤋
In your case, you should figure it our yourself. Check who gets more benefits by claiming the baby.
If you can't decide, then the parent with more income can claim the child.
2007-10-23 02:29:37 · answer #5 · answered by MukatA 6 · 0⤊ 0⤋
If you claim your baby it'll make it look like you have financial aid need. Since u only make 11,000 therefore you would get the financial aid you need.
2007-10-22 22:32:42 · answer #6 · answered by scorpio_girl 3 · 1⤊ 2⤋
Who would receive the biggest break or receive the earned income credit?
2007-10-22 22:30:50 · answer #7 · answered by KIMBO 4 · 3⤊ 0⤋
I suggest you claim your son, since you do not make that much money, you will be happy with the return you get back.
2007-10-22 23:24:10 · answer #8 · answered by ♥BrOkEn_HeArTeD♥ 2 · 0⤊ 2⤋
Sarah's answer is what is wrong with America today..something for nothing..these are our tax money going to a scam. Have him take the deduction since it is worth more.
2007-10-23 01:03:56 · answer #9 · answered by Anonymous · 0⤊ 3⤋
Untill you are truly married, you should claim your child as your dependent to avoid complications now and in the future.
2007-10-22 22:31:36 · answer #10 · answered by Solo 5 · 0⤊ 3⤋