daughter,son in-law and 2 kids lives in home,no rent...want to file them on my taxes but they say "No"

Question

How can I leagally file them or is there some basic law on the average of support where I can't file them on my taxes ? Both worked approx 6 weeks total out of the year.

Answer 1

in most states if you can prove you provided 51% or more of thier support for the year then they don't have a choice....you file them as dependants, moochers, losers, worthless, whatever category fits the bill......this isn't anything they are going to have a say about....but most definately seek the advice of a tax professional before you do anything....a simple call to H&R block or a similar company can provide you with the percentage or policy/procedure for your state.....and they are being selfish little fuc*ks by saying no because they want to get that refund check for sitting on their as*ses and not doing anything while you kept them up for the year......if they file anyway, then turn them in to the IRS and let them get what they deserve.....but the general rule is that if you can prove that you provided more than half of the support then you claim the deduction and the dependant.

Answer 2

Get an IRS Publication 17 and read it to them. By law you and you alone can claim them as dependents on your tax return. In your home over six months and you provide over half their support; it is not what they want but rather whatever you want; OR ELSE. Have a come to jesus meeting with them and lay down the law; otherwise welcome to the cardboard box under the overpass. She who has the gold makes the rules. Here is something else for your edification; you have four depedents there for your return; you have head of household catagory, you probably have two children each worth a thousand dollars in child tax credit; and you may be entitled to up to $ 4,716.00 in EIC; bon apetite. ps. If they worked only six weeks then they only have to file for a refund of money withheld; they cannot claim dependency for children as they don't meet the support test or anything, they are so screwed.

Answer 3

Unfortunately, I think you are going to be stuck. And so will many other grandparents who take in boomerangs.

If each parent only worked 6 weeks, they would have had to average $15/hour to beat the $3400 requirement. This is unlikely. (I am assuming both are 19 or older and neither is a college student.)

But they did work. Chances are, they will do their taxes early, claim the children for EIC and get a refund that consists of their withholding and (say they made $5000 together) EIC of $2010.

You then file and try to claim all 4. Your return can't go through electronically (due them filing first) and you file on paper. The IRS will come back and disallow all 4 dependents. The parents because they filed as MFJ and the children because they were claimed by those parents. You will lose any challenge because the parents didn't file "solely to get a refund of taxes withheld." The QC tiebreaker favors parents over grandparents.

If you want to try to be reasonable with them one last time, get a copy of IRS publication 501 from irs.gov. Around page 31 is a worksheet page for the support test. Use it for each of them to determine total support and whether or not any one of them supported themselves. (Keep in mind, you will be pulling teeth to get the info from them so work on proving that the support for each parent was at least more than twice their income.) Unfortunately, they will probably think the support test is unfair in allowing you to put 1/6th of the housing expense down because you had that space anyway.

Then, if you don't mind a major invasion of privacy, sit them down with a draft of your tax return with and without the 4 of them. Show them the difference in refund for you vs their refund from EIC. Unfortunately, even if the EIC is smaller, they will instinctively know that the EIC is "theirs" while your refund is "yours" and they won't care.

And without their cooperation, you lose. The 2005 changes to the support test for minor children blew you away. Instead of the taxpayer claiming the child having to prove that they provided more than half of the total support, the test was flipped and as soon as the child doesn't provide his/her support the child is up for grabs. (The change was to allow more poor parents to claim their children even if they received public assistance.) Any disagreement is solved by letting the biological parent "win."

Answer 4

First of all, tax preparers are not legal advisors. They prepare taxes based on financial information submitted. Tax preparers should not put themselves in a position judging issues that are part of your living arrangements. Even if you can qualify all of these people on your tax return they may not want you too. Yes, you have a personal problem and it can be easily solved. Let them file for themselves and come April 15, 2008, all of you move out of my house. It is call "Tough Love". You will be better off and they need to be on their own.

Answer 5

This gets a bit tricky since different rules apply for your Daughter and Son-in-Law and their kids. Run through the items and check them off if they apply. Anyone who passes all of the tests MAY be claimed as a dependent by you.

Here are the rules for claiming your D and SIL. This is the "Qualifying Relative" rule:

1. They must be US citizens or residents of the US, Canada or Mexico.

2. They must not file a joint return UNLESS it is to receive a refund of ALL income taxes withheld from their incomes.

3. They must each have less than $3,400 in gross income for 2007.

4. They must have lived in your household ALL year.

5. You must have provided more than 50% of their total support.

Here are the rules to claim their children. This is the "Qualifying Child" rule. It DOES apply for grandchildren as well.

1. The children must be US citizens or residents of the US, Canada or Mexico.

2. They must have lived in your household for more than half of the year. (Note the difference in residency between a Qualifying Relative and Qualifying Child!)

3. The children must not have provided more than half of their OWN support. (Note the difference in the support rules for a Qualifying Relative and Qualifying Child!)

4. They must not be claimed as the Qualifying Child of another taxpayer, i.e. their parents. (If the parents each made less than $3,400 in 2007, their claiming the children on a return filed to receive a refund of all taxes paid will NOT bar you from claiming them yourself though it will probably generate a letter from the IRS asking for proof of your claim.)

You have to evaluate each one on their own merit. If you qualify to claim any or all of them, go ahead and do so. Their objections will be moot if YOU meet the requirements to claim them as dependents. If they file returns the IRS may question your claim and ask for proof. They will then decide who is entitled under the law to receive the exemptions.

Answer 6

You need to see a CPA.

Years ago, you used to be able to file on your taxes ANYONE that you provided 51% of support to, however, unless you are a LEGAL GUARDIAN of that individual (a child, a mentally impaired person, etc), you can NO LONGER do that, if they are adults.

You also cannot do it against someone's wishes, because you need their social security numbers to do so.

It is illegal to claim someone else's children.

Answer 7

Check with a reliable tax preparation person as to the legal aspect if they say it is OK then Figure your taxes with them and with out them see how much money you would save. Then figure their taxes and see what their return would be. If it would save you lots and be more saved for you than just what they get back on return AND if would not change their status for recieving money from school for education or keep them from drawing welfare/SSI and or medical benefits for themselves and the children I would sit them down and tell them the facts of life starting with any money they get on their return goes directly to you to pay for supporting them if they refuse to let you save money on your return to reimburse you for money paid to support them. If they are unreasonalbe about the practical and legal issues and still want to sponge off from you I would shut of the money except to feed grandchildren and tell them to 'Hit the road ' they can use the money on their return to get an apartment and get to heck out of your house and your wallet....