Dependant Qualification:
Dependents

Earned Income Tax Credit




The Earned Income Credit is a refundable credit for low-income workers with earned income. The credit is
available for taxpayers with or without children. You could be entitled to a refundable credit of up to $3,305  
(if you have one qualifying child), $5,460 (if you have two qualifying children), $6,143 (if you have more
than two children), or $496  (if you have no qualifying children).

You have earned income if you work for someone else or if you are self-employed. If you were in a combat
zone during the year, you may elect to use your combat pay to determine the greatest credit amount.

You can increase your refund by any remaining credit if your withholdings and Earned Income Credit
amount are greater than the tax liability you may have on your tax return.


To claim a dependent you must not be able to be claimed as a dependent by any other taxpayer. In
addition, you generally cannot claim an exemption on a dependent who is married if they file a joint return.
You cannot claim a person as a dependent unless that person is a U.S. citizen, a U.S. resident, U.S.
national, or a resident of Canada or Mexico for some part of the year. To be a dependent, the person must
be your qualifying child or qualifying relative.

Qualifying Child  

A child is your qualifying child for dependency if all six of the following tests are met:

  • Relationship Test - Your qualifying child must be your:
Child (son, daughter, stepchild, adopted child, or eligible foster child) or descendant (for example,
grandchild or great grandchild)
Sibling, half sibling, stepsibling, or descendant (for example, nephew or niece)
  • Age Test - Your qualifying child must be younger than you and under age 19, a full-time student
    under age 24, or any age if permanently and totally disabled.
  • Residency Test - Your qualifying child must have the same main home as you for more than half the
    year. Special rules may apply for kidnapped children and for temporary absences due to special
    circumstances such as illness, education, business, vacation, and military service.
  • Support Test - Your qualifying child must not provide more than half of their own support. For full-
    time students, amounts received for scholarships at an educational organization are not considered
    amounts paid for support.
  • If a child is the qualifying child for you and another person, you will need to decide who will claim that
    child as a dependent. If both of you claim the same child, the IRS will use the following tie-breaker
    rule to determine who can claim the child:

  • If only one of you is the child's parent, the parent can claim the child.
  • If both of you are the child's parents and you do not file a joint return together:  
The parent with whom the child lived the longest period of time during the year can claim the child.
  • If the child lived with both parents the same amount of time, the parent with the highest adjusted
    gross income can claim the child.
If a child can be claimed as a qualifying child by their parents, but no parent claims them, then they cannot
be claimed by another individual unless the other individual's adjusted gross income is higher than that of
any parent of the child.
If a person does not meet the tests for being a qualifying child, they may qualify as your dependent under
the qualifying relative tests.

Qualifying Relative

Qualifying relatives can include children who do not meet the qualifying child Age Test, other relatives (for
example, parents, grandparents, uncles, aunts, and in-laws), and unrelated members of the household.

A person is your qualifying relative if all of the following tests are met:

  • Not a Qualifying Child Test - Your qualifying relative must not be a qualifying child for any taxpayer.
    An exception to this rule is when the other taxpayer for whom the child is a qualifying child is not
    required to, and does not, file a tax return.
  • Member of Household or Relationship Test - Your qualifying relative must either live with you for the
    entire year as a member of your household (but the relationship cannot violate local law) or be
    related to you in one of the following ways:
    Child (son, daughter, or adopted child), or descendant (for example, grandchild or great grandchild)
    Stepchild
    Sibling, half sibling, or stepsibling
    Parent or direct ancestor (for example, grandparent or great grandparent)
    Stepfather or stepmother
    Uncle or aunt
    Nephew or niece
    Father-in-law, mother-in-law, son-in-law, daughter-in-law, brother-in-law, or sister-in-law
       Special rules may apply for kidnapped children and for temporary absences due to special         
circumstances such as illness, education, business, vacation, and military service.
  • Gross Income Test - Your qualifying relative cannot have a gross income in excess of the dependent
    exemption amount for the year.
  • Support Test - Generally, you must provide more than half of your qualifying relative's total support.
    Special rules may apply when more than one person is providing support for an individual or for
    children of divorced or separated parents.
ACCURATE TAXX LLC