Dependent/ Filing status

[grandmabee]

I have  unmarried parents living together.  One makes about 14,000. the other one 231,000

Can I  file single claiming the dependent for the one making 14,000.  He will get EIC, CTC

File the mother HH without claiming the child.  She of course owns the home and pays all expenses.

Am I missing something with this?

TIA

[BrewOne]

is it against State law (cohabitation)?  Is there common law marriage in Oregon?

[mcb39]

18 hours ago, grandmabee said:

I have  unmarried parents living together.  One makes about 14,000. the other one 231,000

Can I  file single claiming the dependent for the one making 14,000.  He will get EIC, CTC

File the mother HH without claiming the child.  She of course owns the home and pays all expenses.

Am I missing something with this?

TIA

You have to have a dependent to file HOH.  The mother is entitled to the child and all eligible credits.  The other parent qualifies for EIC on the merit of that low of income.  My research resource says that the higher income qualifies for all credits including HOH.  (I hope I don't get chastised for this reply.)  It's is becoming a more and more common situation.

[Lion EA]

You might be thinking of the tie-breaker rules, but they don't come into play unless the parents cannot agree.

[kathyc2]

Since the child lived with both parents, he/she is a qualifying of both parents.  The HOH, CTC, and EIC can not be split between the parents.  All benefits need to go with either Mother or Father.  It doesn't need to be the one with higher income as long as they agree.  See Rule 9 in Pub 596 for more detail. 

[Max W]

The high earner's income phases out both EITC and CTC phaseout starting at $200K.   There would be very little tax difference filing single, or HOH.

The low earner will get both the credits and have nearly no income tax (10% of taxable income).