The question of whether two formerly married individuals can each declare a child as a dependent on their respective tax returns arises frequently post-divorce. Generally, only one parent can claim a child as a dependent for tax purposes in a given year. For instance, if a mother and father are divorced and share custody of their child, only one of them can typically claim the child as a dependent, even if both contribute financially to the child’s upbringing.
Determining which parent can claim the dependent exemption is crucial for tax liability and potential credits, such as the Child Tax Credit or the Earned Income Tax Credit. Historically, the IRS has established specific rules to navigate these situations, acknowledging the challenges faced by divorced or separated parents in managing financial responsibilities. Understanding these guidelines is essential for maximizing tax benefits and avoiding potential conflicts with the IRS.
