The above examples from “Modern Family Law firm” clarifies specific scenarios where the parents might have either have shared custody or primary custody of the child or children. In situations where the parents are not in agreement as to who should have the right to claim the child or children, the noncustodial parent may suffer serious tax consequences. If the child or children stay with one parent during most of the school year but spends most holidays and the entire summer with the other parent, the non- each parent might be under the impression that they are entitled to claim the child or children.
The IRS requires that a party claiming a child, attests that they are the primary custodian and have a right to claim the child as a dependant. In instances where both parents claim the children on their taxes, one of the parents will be required to file a paper return requesting that they are given the dependent credit. The other parent, who was not entitled to claim the child might be required to repay the amount in which they were credited with penalties and interest.
Although courts cannot order the custodial parent to allow the non-custodial parent to claim the child or children on his or her taxes, the parents can enter into a written agreement to either alterne years claiming the child or children or allowing the spouse who earns the higher income to claim the child or children.
In instances where the parents’ divorce in the later part of the year, the parents may both be entitled to claim the children however, from the perspective of the IRS, both parents are not permitted to do so. It is crucial that parents communicate with one another each year prior to filing their taxes and determine who will claim which child. If the noncustodial parent intends to claim the child or children, he or she must have the custodial parent sign a tax form 8332 and submit to the IRS expressly giving the noncustodial parent the right to claim the parties’ child or children.
It is very important that you consult with a tax professional to determine whether you have the right to claim the child or children and what are your options in the event the non-custodial parent claims the child without your permission.
If you are a parent and have issues relating to child custody, visitation, divorce or other family law matters, The Law Office of Lynndolyn Mitchell PC is exceptionally qualified to help you navigate the process.
