2

Assuming a US person has one dependent child, is filing as Head-of-Household and an income over the limit for claiming any child credit. Supposedly, he could use IRS Form-8332 for transferring the right to claim such credit to the other parent of that child (who makes a smaller income).

If such form is filed, is there any impact on the eligibility of the person to file as an Head-of-Household? Will that person need to file as a Single?

1 Answer 1

2

That person who received the right to claim the child cannot claim Head-of-Household for that child (stays with the custodial parent), but could claim it in regard to other members of their household possibly.

For divorced or separated parents, the custodial parent can transfer that child exemption to the non-custodial parent through IRS Form 8332. (There is no exemption per TCJA until 2025, but that language is still used).

This is a great recap of what can be accomplished by doing that:

It allows the non-custodial parent to claim the following:

Child tax credit
Additional child tax credit
Credit for other dependents

While the custodial parent retains:

Earned income credit (EIC)
Child and dependent care credit
Head of household filing status

Your link to the form itself (and instructions) contain lots of important related details, including that the child needs to have received over half their financial support from one or both parents, and needs to have been in the custody of one or both parents for over half of the year.

Here is an interactive process to confirm if you can confirm someone as a dependent, in general.

You must log in to answer this question.

Not the answer you're looking for? Browse other questions tagged .