The designation of head of household status for tax purposes is generally limited to a single individual who maintains a household for a qualifying child. This status provides a more favorable tax rate and a higher standard deduction compared to single filing status. For divorced parents, determining which parent qualifies can be a complex issue governed by specific IRS rules.
Understanding the conditions under which one can claim this status is crucial for divorced parents seeking to minimize their tax burden and ensure compliance with tax regulations. Historically, dependency exemptions and filing statuses were often points of contention during and after divorce proceedings. Clear guidelines from the IRS aim to minimize disputes and provide a framework for equitable tax treatment.