Can I Claim an Undocumented Person on My Taxes?

United States tax law permits taxpayers to claim dependents who are not U.S. citizens, provided they satisfy specific criteria established by the Internal Revenue Service (IRS). The regulations focus on residency and financial support rather than immigration status. Navigating these rules requires a clear understanding of the dependency tests and the necessary identification requirements for individuals without a Social Security Number. This guide outlines the eligibility tests set by the IRS and explains the process for obtaining the correct taxpayer identification.

Determining Dependent Eligibility

To claim any individual as a dependent, they must meet the criteria for either a “Qualifying Child” or a “Qualifying Relative” as defined by the Internal Revenue Code. These categories are mutually exclusive; a person who meets the tests for a Qualifying Child cannot be claimed as a Qualifying Relative. The determination is based on a series of specific tests that assess the relationship, age, residency, and financial support.

Qualifying Child

The “Qualifying Child” status is subject to four main tests.

• Relationship: The child must be the taxpayer’s son, daughter, stepchild, foster child, brother, sister, or a descendant of any of them.
• Age: The child must be under age 19, or under age 24 if a full-time student, at the end of the tax year.
• Residency: The child has lived with the taxpayer for more than half of the year in the United States, a rule that applies regardless of the child’s immigration status.
• Support: The child did not provide more than half of their own financial support during the year.

Qualifying Relative

If an individual does not meet the criteria for a Qualifying Child, they may still be claimed as a “Qualifying Relative.” This category also has four distinct tests. The first confirms the person is not the taxpayer’s Qualifying Child or the Qualifying Child of any other taxpayer. The relationship test is broader and includes children who don’t meet the age test, parents, grandparents, or any other person who lived with the taxpayer all year as a member of their household.

The final two tests are based on income and support. The gross income test requires the individual’s income for the year to be less than a specific amount, which for tax year 2024 is $5,050. The support test is met if the taxpayer provided more than half of the person’s total support for the calendar year, which includes all expenses for food, lodging, and medical care.

The Taxpayer Identification Number Requirement

A dependent must have a valid taxpayer identification number to be claimed on a U.S. tax return. While most U.S. citizens and residents use a Social Security Number (SSN), an individual who is not eligible for an SSN must obtain an Individual Taxpayer Identification Number (ITIN). An ITIN is a nine-digit tax processing number issued by the IRS for the sole purpose of federal tax reporting.

The requirement for an ITIN applies to any dependent, including an undocumented person, who does not have and cannot get an SSN. Without an ITIN or an SSN, a taxpayer is unable to list the individual as a dependent on their Form 1040, thereby forfeiting any tax benefits associated with that dependent.

An ITIN does not grant the holder legal immigration status, authorize them to work in the United States, or make them eligible for Social Security benefits. Its purpose is strictly limited to the administration of tax law. Privacy laws protect the information provided to the IRS for an ITIN application, preventing it from being shared with immigration enforcement agencies for deportation purposes.

Applying for an Individual Taxpayer Identification Number (ITIN)

To apply for an ITIN for a dependent, the taxpayer must complete Form W-7, Application for IRS Individual Taxpayer Identification Number. The application requires information about the dependent, including their full legal name, foreign address, and date of birth. The form requires indicating the reason for applying.

The Form W-7 must be accompanied by documentation proving the applicant’s foreign status and identity. The IRS requires original documents or certified copies from the issuing agency. A valid foreign passport is the only standalone document that proves both. If a passport is not available, a combination of at least two other documents is required, such as:

• A foreign military identification card
• A national identity card
• A foreign voter registration card
• A foreign birth certificate

All documentation must be current. For dependents under 18, documents must include a photograph unless they are under age 6, in which case a medical record can be used.

Claiming the Dependent and Associated Tax Credits

Once dependency is established and the individual has an ITIN, they can be claimed on the taxpayer’s Form 1040. The dependent’s name and ITIN are entered in the “Dependents” section of the tax return. This action may qualify the taxpayer for certain tax benefits, though the available credits are different for dependents with an ITIN compared to those with an SSN.

The primary tax benefit for claiming a dependent with an ITIN is the Credit for Other Dependents. This is a non-refundable credit, valued at $500 per qualifying dependent for the 2024 tax year. This credit is available for dependents who meet the Qualifying Relative tests or for children who meet the Qualifying Child tests but cannot be claimed for the Child Tax Credit, often because they have an ITIN instead of an SSN.

Certain tax credits are explicitly unavailable for dependents without an SSN. The Child Tax Credit (CTC) and the Additional Child Tax Credit (ACTC) require the qualifying child to have an SSN. Similarly, the Earned Income Tax Credit (EITC) has a strict SSN requirement for the taxpayer, their spouse (if filing jointly), and any qualifying children listed on the return.

Submitting the Tax Return with an ITIN Application

A tax return that includes a new application for an ITIN cannot be filed electronically. The entire package must be submitted by mail to a specific IRS processing center address, which is listed in the instructions for Form W-7. The completed Form W-7 is attached to the front of the paper Form 1040, along with the original or certified copies of the required identity and foreign status documents.

After mailing the application, taxpayers should anticipate a processing time of at least seven weeks. During peak tax season, this period can extend to 11 weeks or longer. The IRS will first process the Form W-7 and issue an ITIN to the dependent. Once the ITIN is assigned, the agency will then process the associated Form 1040 tax return.

The IRS will return the applicant’s original supporting documents to the mailing address listed on the Form W-7. Taxpayers should not expect the documents to be returned with their tax refund; the return of documents is handled separately.