What Is Form 8333 and How Is It Used?

IRS Form 8332, Release/Revocation of Release of Claim to Exemption for Child by Custodial Parent, is a tax document used by separated or divorced parents. Its purpose is to allow the parent with whom the child lives most of the time to grant the other parent the ability to claim the child for certain tax benefits. This formal release is required for the noncustodial parent to legally claim these benefits on their tax return.

Understanding the Release of Claim

The IRS defines the “custodial parent” as the parent with whom the child lived for the greater number of nights during the tax year. If the child lived with each parent for an equal number of nights, the parent with the higher adjusted gross income (AGI) is considered the custodial parent. The other parent is the “noncustodial parent.” This distinction is based purely on physical custody and is not determined by a divorce decree or legal agreement.

By signing Form 8332, the custodial parent can transfer specific tax benefits to the noncustodial parent. The most significant of these are the Child Tax Credit, the Additional Child Tax Credit, and the Credit for Other Dependents. This release allows the noncustodial parent to reduce their tax liability by claiming these credits, provided they meet all other eligibility requirements for them.

It is important to understand which tax benefits are not transferable through Form 8332. The noncustodial parent cannot gain the right to claim the Earned Income Tax Credit (EITC), file as Head of Household, or claim the credit for child and dependent care expenses. These benefits are reserved for the parent the child lived with for more than half the year, as eligibility is tied to the costs of maintaining the home for the child.

Information Required to Complete Form 8332

To complete the form, the custodial parent must gather specific information. This includes the full name and Social Security number (SSN) of the noncustodial parent who will be claiming the child. The custodial parent will also need their own SSN and the full name of each child for whom the claim is being released.

The most current version of Form 8332 is available on the IRS website. The form is divided into three distinct parts, each serving a different purpose. The custodial parent fills out only the part that applies to their agreement, whether they are releasing the claim for the current year, future years, or revoking a previous release.

Part I of the form is used to release the claim for the current tax year only. The custodial parent enters the name of the noncustodial parent and their SSN, the name(s) of the child or children, and then signs and dates the form. This section is for a one-time, annual release.

Part II is for releasing the claim for multiple future years. This section allows the custodial parent to specify the exact years for which they are releasing the claim, which can be a set number of years or all future years. This can simplify the process for parents who have a long-term agreement, as it avoids the need to execute a new form annually.

Part III is used by the custodial parent to revoke a previous release that was granted for future years in Part II. This section is not for revoking a release for the current year. The parent must specify the tax year in which the revocation becomes effective. For the revocation to be valid, the custodial parent must have made reasonable efforts to provide a copy of the completed Part III to the noncustodial parent.

Executing and Submitting the Form

Once the custodial parent has completed and signed the appropriate section of Form 8332, they must deliver the original, signed document to the noncustodial parent. The custodial parent should keep a copy of the signed form for their own tax records, as this provides proof of the release.

The noncustodial parent who receives the signed Form 8332 must attach a copy of the completed form to their Form 1040, U.S. Individual Income Tax Return, for each year they claim the child. If the tax return is filed by mail, a physical copy must be included. Failure to attach the form will likely lead to the IRS disallowing the claim for the related tax credits.

When filing electronically, the noncustodial parent must attach a digital copy of the signed Form 8332 to their tax return. Tax software allows this to be done by uploading the form directly as a PDF. If the form cannot be attached directly to the electronic return, it must be sent to the IRS with Form 8453, U.S. Individual Income Tax Transmittal for an IRS e-file Return.