Dependent question

No -- typically the girlfriend/mom would be a taxpayer and so her qualifying child could not be your qualifying "other person". (Assuming all the other requirements for dependency are not in question). If the mom has gross income below $3,400 and doesn't file a tax return, then possibly yes. (Not sure about those who file a tax return in 2007 only to get the stimulus credit rebate check).

and / or claim head of household

No. Even if she is your dependent, she will not qualify you for HOH.

So, either mom, or dad with mom's cooperation, can claim the daughter as a dependent.

-Mark Bole

Head of Household, definitely not. You don't have a "qualifying person," who must be related to you by blood, marriage or legal placement of a foster child, in the home in question.

Dependent, maybe. If you can claim your girlfriend as a dependent you can also claim her daughter. It's both or neither. See IRS Publication 501.

[Snip]

Hmm. Did she not have a birthday celebration during the entire year? (Sorry, couldn't resist)

Yes on December 3rd turned 18, so almost no birthday ha-ha

Ok I did forget to mention that the mother ( my girlfriend ) did have an income of 2400.00 yes 24 hundred all year.

Just a little info on all this. on September 26th her daughter (the child in question) went to take her brother home , at the same time the police were persuing an individual who was going the wrong way on the interstate, hence hit her daughter and son head on , resulting in her son's death.

This has really been an emotional year and I am just trying to get all I can for my providing for them.

I am a firefighter (31 years) and we do not make a whole lot of money.

An extra couple grand in a refund sure would help.

Thanks to all who read and offer advice!!!!

Let's recap the facts. The household for 2007 consisted of you, your girlfriend and your girlfriend's 18 year old daughter. (I assume from the unquoted sad part of your story that GF's son did not live with you.) Aside from approximately $2400 of income to your girlfried you were the sole support of the household.

Verify this in IRS Publication 501, but it appears that both GF and her daughter qualify as your dependents for 2007. That does not necessarily mean that you should claim the daughter.

If GF's $2400 was from a job she qualifies for the Earned Income Credit. At exactly $2400 the tax benefit of that credit would be $825. To get that tax benefit from the daughter's exemption you would have to be in the 25% bracket

So, figure returns for both you and GF under the following scenarios:

Scenario 1:

You file Single with both GF and daughter as dependents. If GF had tax withheld, she files a Single return as a dependent to get a refund of the tax withheld.

Scenario 2:

You file Single with only GF as a dependent. GF files as a Single dependent with no dependents but one qualifying child for Earned Income Credit. (Nobody claims the daughter's personal exemption in this scenario.)

Then you can pick which scenario is best for the household.

This information is important, for example in 2008 the daughter cannot be anyone's qualifying child (for the Earned Income Credit, for example) unless she is a full-time student, or permanently and totally disabled.

[...]

Unfortunately neither of these two facts have any bearing on your tax situation.

-Mark Bole

Phil

See the 2007 1040 instructions page 45, step 4 question 3.

That prevents someone who can be claimed as a dependent from claiming EIC.

You never get to Step 4 if you have a qualifying child. See Step 3, Question 2, which is the test (are you a qualifying child?) for people with a qualifying child.

Yes I understand that completey. (just get a little frustrated, we have been to hell through all this) I am trying to gain knowledge, so I do not do something I am not entitled to do.

I went to a firefighters wife who is a cpa and she told me that I could claim the daughter. I just want to verify the "rule" that allows me to do this. I appreciate all the help, and plan to read pub 501 today, and get back here if I have any questions.

THANKS

Table 36.1 in 2007 Pub 17 "Earned Income Credit in a Nutshell"(1) is a really easy-to-use, concise list of the rules (Chapter 36 itself is EIC in detail).

The scenario where a dependent can still use a qualifying child for EIC makes for a challenging test question for those learning tax preparation.

-Mark Bole

(1) is the IRS allowed to use phrases like "in a nutshell"?

Also check out the EITC for your girlfriend to see if it's better not to claim the daughter even if you can.

(snippeeeedddd.)

She is correct. IRS put out clarifying information on this very point late last year, IF memory serves.

ChEAr$, Harlan Lunsford, EA n LA

Phil:

It's amazing. And yes, also according to Pub. 596. To get EIC without qualifying child, you yourself cannot be a qualifying child nor a dependent of someone else. But when you do have a qualifying child, it's only the first restriction. Amazing. And a good opportunity for some tax planning.

-Doug

Well after all kinds of research, it appears my best scenario is:

Do not claim GF (although her income was only 2400, she had a debt reducxtion form for 1700)

Claim Gf's daughter as a dependent, and me head of household.

I still cannot find anything that states I can claim GF's daughter but I was told I can. She lived with us all year (2007) only made about $600, and her Dad paid zero child support.

So if anyone thinks this is wrong please let me know. And if anyone can point me to an exact spot in a Publication showing where I can do this with GF's daughter I would appreciate it for my peace of mind. Thanks to all

Whether or not to claim GF as a dependent is the one no-brainer you have. You are the only person who can claim her personal exemption, and there's no harm to anyone if you do. What led you to this conclusion? A specific Pub

501 reference would help us show you where you went wrong.

As everyone here told you from the start you cannot under any scenario file as head of household. Period. There is no "qualifying person" in your household. Again, if you could tell us what led you to this conclusion it would help us disabuse you of it.

If you follow the flowchart in Pub 501 for a "qualifying relative" dependent, that's where the daughter fits in. The only issue would be whether she's her mother's qualifying child, in which case she would not be available to you as a qualifying relative.

However, the IRS issued a notice recently (not reflected in Pub 501) saying that if all persons who could claim her as a qualifying child are not required to file a return, she is not anybody/s qualifying child. If you search at the IRS site on "qualifying child" you'll probably find a link to this notice. In your case her mother is the only person who could possibly claim her as a qualifying child, and her mother has no filing requirement. Thus she's nobody's qualifying child and is available to you as a qualifying relative.

Here is a link that may be helpful:

If this fits your situation, you would still need to pass the, "and your relationship must not violate local law" reference of Pub 17, Table 3.1 (e.g. state and local laws regarding cohabitation.)

It's in Pub 501, top of third column on page 13 with three examples.

Don't know how I missed that. It's directly on-point to OP's situation.

Thanks.

GF's income was 2519.70 tax w/h 148.91 BUT she recieved a form 1099-c cancellation of debt for 1761.19 I was told by that Firefighters wife (the CPA) because of that 1099-c I cannot claim her as that shows as income. Now .....(if she is wrong in your opinion) if I can claim her (and her daughter) that would mean they cannot claim themselves, correct?

There again going on what firefighters wife (cpa) told me, she said I could do this. I even called her back two days ago to verify what she told me prior.

I did see it (finally) in pub 510, I do meet all the requirements, support test ETC

OK again, her Dad does not file taxes (according to ex wife , my GF) he owes a lot and would go to jail when they catch up to him. His latest plan was to leave the country.

I really appreciate your patience with me.