2007-11-11 12:28:58 · 7 answers · asked by Ms.Isittrue 1 in Business & Finance ➔ Taxes ➔ United States
They aren't doing regular audits. They are sending out requests for information, requiring you to prove that you have the legal right to claim the dependent. They also do it for some biological children when the IRS has reason to suspect that the deduction might belong to the child's other parent.
2007-11-11 12:48:18 · answer #1 · answered by shoredude2 7 · 0⤊ 1⤋
Are you making a statement or asking a question?
If a statement, what is your source? It is my business to know these things and I have not seen any such pronouncements by IRS.
If a question, it has always been true that IRS is more likely to ask for proof of dependent status of "other" dependents than of those listed as "child". However, since 2005, with the new rules for "uniform definition of a qualifying child", it is entirely possible that IRS will look at more tax returns with "child" as the relationship because many people will claim a child as a qualifying relative when they should not because the child is a qualifying child of another person. However, merely using the relationship "child", does not by itself indicate that the child is not a biological dependent. Fosterchild, adopted child, and stepchild, all can be called child and (if other conditions are met) be bona fide dependents, yet none are biological children.
As yet, IRS has made no formal announcement of any such intention of how to address these issues.
Following are links to IRS Publications about the "kid rules".
2007-11-11 20:40:45 · answer #2 · answered by Hank Roitman, EA 4 · 1⤊ 0⤋
When you claim as a dependent someone who is not your biological or adopted child, a small red flag raises at the IRS. This does not indicate that everyone claiming such deductions will be audited, but these types of deductions are a source of many errors in income tax returns. Some will selectively be audited to verify that the dependents claimed are properly claimed.
2007-11-11 20:40:03 · answer #3 · answered by acermill 7 · 0⤊ 1⤋
To claim a dependent, it is not necessary that the person must be your biological dependent. Any child, even not related, can be your dependent if the child lives with you and you provide the support.
You should read IRS Publication 17: Your Individual Income tax; Chapter 3--Exemptions for Dependents.
2007-11-12 03:35:48 · answer #4 · answered by MukatA 6 · 0⤊ 1⤋
They've been looking very closely at people in that situation, because of the large amount of fraud in people claiming kids as dependents that they aren't entitled to claim.
2007-11-12 00:10:23 · answer #5 · answered by Judy 7 · 0⤊ 1⤋
What exactly is your question?
2007-11-11 20:35:05 · answer #6 · answered by hottotrot1_usa 7 · 0⤊ 1⤋
who really cares, do u have something to hide?? lol
2007-11-11 20:32:07 · answer #7 · answered by polorbear2003 2 · 0⤊ 1⤋