Here’s what you should know about claiming a dependent child on your taxes…
When filing your taxes, you’ll want to report the expenses that come along with the responsibilities of raising a child.
One way to do this is by claiming your child as a dependent. Each dependent you claim on your tax return will lower your total taxable income by one exemption. That means you’ll end up receiving a larger tax refund!
Keep in mind, however, each dependent can only be claimed by one tax filer. Additionally, the dependent you’re claiming must qualify as either of the following:
- a qualifying child
- a qualifying relative
Who is considered a Qualifying Child Dependent?
In order to claim someone as your qualifying child, he or she must meet the following criteria:
- Be your biological or adopted child, stepchild, foster child, sibling, half-sibling, stepsibling, or a descendant of one of these
- They are under the age of 19, or if a full-time student, under age 24 (There is no age limit if the child is permanently disabled.)
- Be a U.S. citizen or U.S. resident, or a resident of Canada or Mexico
- Unmarried, or married but not filing a joint return
- Have lived with you for at least half the year, unless absent due to illness, education, business, vacation, or military service
- Have not provided more than half of his or her own support
How do I claim my dependent child using RapidTax?
If you can claim a child as a dependent on your 2014 Tax Return, it’s a good idea to do so. After all, doing so will leave you with a larger refund.
To claim your child using RapidTax, you’ll first need to create an account. After you’ve entered your basic information (name, address, etc.), you’ll have the option to add a dependent. At this point, you need to enter the dependent’s basic information. This includes your child’s full name along with the following details:
- date of birth
- relationship to you
- social security number
- the number of months he or she lived with you
- income earned
After entering this information, be sure to click the green “Save & Go” button. Once saved, you’ll have the option to report additional dependents.
Ready to start your 2014 Tax Return? Create an account. Within minutes, you’ll have your dependent’s information reported and your 2014 taxes complete!
Photo via Philippe Put on Flickr