Adopted Child

A child is born early in 2006, placed into the adoptive home in August and offically adopted in November. Is this child a 'qualifying child' for tax purposes? Is the the residency requirement 'trumped' by the fact that an adopted child is treated as your own as if 'born' during the tax year? Or is this a stretch? Thank you in advance!

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Reply to
roggo
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According to IRS Publication 501 an adopted child is "always" treated as your own child. It's clear that a child born to you, a/k/a "your own child," is treated as having lived with you the entire year. Based on this, I'd say yes, the child is your qualifying child for the year of birth.

-- Phil Marti Clarksburg, MD

Reply to
Phil Marti

roggo wrote:

An adopted child is considered to be your own child for purposes as to whether the child is a son, daughter, stepson, or stepdaughter of the taxpayer, or an eligible foster child of the taxpayer or a brother or sister. As such, the child has to meet the age and residency test. The residency test requires that the child live with you for more than half the year. An exception to the more than half year test exists for a child that is either born or dies in the year, is temporarily absent, is kidnapped or is a child of divorced, separated or never married parents. If the child is born during the year and can't meet the greater than 6 months rule, the exception requires that the child reside with you for the entire time the child was alive other than for a temporary absence. Therefore, the key factor in this situation is whether the period of time from the date of birth to placement in the adoptive home is considered a temporary absence. Here is the section of the regulations relating to temporary absences and birth and death: A nonpermanent failure to occupy the common abode by reason of illness, education, business, vacation, military service, or a custody agreement under which the dependent is absent for less than six months in the taxable year of the taxpayer, shall be considered temporary absence due to special circumstances. The fact that the dependent dies during the year shall not deprive the taxpayer of the deduction if the dependent lived in the household for the entire part of the year preceding his death. Likewise, the period during the taxable year preceding the birth of an individual shall not prevent such individual from qualifying as a dependent under section 152(a)(9). Moreover, a child who actually becomes a member of the taxpayer's household during the taxable year shall not be prevented from being considered a member of such household for the entire taxable year, if the child is required to remain in a hospital for a period following its birth, and if such child would otherwise have been a member of the taxpayer's household during such period. Unless the period of time from date of birth to placement in the home was due to the child being required to remain in the hospital or if the child had the left the hospital and was placed in your care but due to your temporary absence the child did not live with you, then the child would fail the test.

Reply to
A.G. Kalman

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