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Posted

Client call this morning about dependent.

Grandson, who has been dependent on tax return since age 2, incarcerated in juvenile detention center fall of 2011 just after his 18th birthday, Prior to that was in high school. 2011 dependent exemption was taken.

2012 scenario more complex: Grandson turned 19 years old in fall and was moved for state prison. So all of 2012 he was incarcerated, not in school, not at home either. My client wonders if his incarceration constituted a temporary absence. She noted that imprisonment is not in that list.

I believe her grandson is now disqualified as a dependent due to the county, then state, having provided all of his "support" at the respective jails. Cost client nothing.

Agreed or am I not thinking clearly? So far, I am unable to find any absolute direction in researching. Does anyone have a cite that would help?

Elfling

Posted

I would think that he would have to lived with you for more than 6 months of the year before being incarcerated, then you may be eligible to claim him as a dependent. So then in this case. I think you are correct.

August @ ADG Financial

Posted

No cite at hand but I had this same scenario a few years ago. I found out in one of the pubs that anyone who is incarcerated for the full year can't be claimed as a dependent. I think you are right on this one.

Julie

Posted

Pub 501 pg 16-17

age 19 not a child, could be qualifying relative except for Gross income test, support test, residency test. Even if you were to extrapolate "temporary absence" the support test would negate the exemption.

Posted

Already have a mother as client and her son is in the can! Had to argue with her few years back why she could not claim him as a dependent even though it was costing her a few hundred dollars to go visit and fill up that jail commisary account for personal needs.

Posted

>><costing her a few hundred dollars to go visit and fill up that jail commisary account for personal needs.<

And why not? In my opinion, incarceration shouldn't count in the dependency calculation, because the fair market rental value of such housing is almost zero, due to low tenant demand.

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