Who Qualifies Under the IRS Definition of a Dependent?

Claiming a dependent can make a taxpayer eligible for tax benefits, including credits and deductions that reduce the amount of tax owed. A dependent is an individual who relies on a taxpayer for financial support. The Internal Revenue Service (IRS) has specific tests to determine if a person qualifies, ensuring that only one taxpayer can claim any single person in a given tax year.

Core Requirements for All Dependents

Before an individual can be considered a qualifying child or a qualifying relative, they must meet a set of core requirements applicable to all potential dependents. First, you cannot claim a dependent if you could be claimed as a dependent by another taxpayer. Second, you cannot claim someone who files a joint tax return with their spouse, unless the return is filed only to claim a refund of withheld taxes with no tax liability.

The person must also satisfy a citizenship or residency test. To qualify, an individual must be a U.S. citizen, U.S. national, U.S. resident alien, or a resident of Canada or Mexico for some part of the year.

A taxpayer must also provide a valid taxpayer identification number (TIN) for any person they claim. This is typically the person’s Social Security Number (SSN). For adopted children who may not yet have an SSN, an Adoption Taxpayer Identification Number (ATIN) can be used. In other cases, an Individual Taxpayer Identification Number (ITIN) may be required.

The Qualifying Child Tests

For a person to be claimed as a Qualifying Child, they must meet four tests in addition to the core requirements: relationship, age, residency, and support. These tests identify a dependency associated with a taxpayer’s direct offspring or other close young relatives.

Relationship Test

The individual must be the taxpayer’s son, daughter, stepchild, or an eligible foster child. This also includes the taxpayer’s brother, sister, half-brother, half-sister, stepbrother, or stepsister. Any descendant of these individuals, such as a grandchild, niece, or nephew, also qualifies. An adopted child is always treated as the taxpayer’s own child.

Age Test

At the end of the tax year, the child must be younger than the taxpayer and under age 19. For full-time students, the limit is under age 24. A full-time student must be enrolled for what the school considers full-time attendance for at least five calendar months. There is no age limit for an individual who is permanently and totally disabled.

Residency Test

The child must have lived with the taxpayer for more than half of the year, which is 183 nights or more in a non-leap year. The law allows for temporary absences, which are not counted against this requirement. These absences can include time away for school, vacation, business, medical care, or military service.

Support Test

The child cannot have provided more than half of their own support for the year. This means the taxpayer does not have to provide more than half of the support, only that the child did not. Support includes expenses like food, lodging, clothing, education, medical care, recreation, and transportation.

The Qualifying Relative Tests

If an individual is not a qualifying child, they may still be claimed as a Qualifying Relative. This category is broader and can include more distant relatives or even non-relatives who live with the taxpayer. Four tests must be met for a person to be a qualifying relative.

Not a Qualifying Child Test

The person cannot be the taxpayer’s qualifying child or the qualifying child of any other taxpayer. The qualifying child rules always take precedence. If a person could be claimed as a qualifying child by anyone, they cannot be claimed as a qualifying relative.

Member of Household or Relationship Test

This test has two paths. The person must either live with the taxpayer for the entire year as a member of the household or be related to the taxpayer in a way specified by the IRS. Relatives, such as parents, grandparents, uncles, aunts, and in-laws, do not have to live with the taxpayer. Non-relatives must live in the taxpayer’s home for the full year, though temporary absences are permitted.

Gross Income Test

The person’s gross income for the tax year must be less than an amount set by the IRS, which was $5,050 for 2024. Gross income includes all income that is not tax-exempt, such as wages, interest, and rental income. Non-taxable Social Security benefits are excluded from this calculation.

Support Test

The support test for a qualifying relative is stricter than for a qualifying child. The taxpayer must provide more than half of the person’s total support for the entire year. This requires a calculation where the taxpayer compares the amount of support they provided to the total amount of support the person received from all sources, including their own funds. Total support includes the fair rental value of lodging, as well as costs for food, clothing, and other necessities.

Tie-Breaker Rules for a Qualifying Child

Situations can arise where a child meets the qualifying child tests for more than one person, such as when a child lives with a parent and a grandparent. To resolve these conflicts, the IRS uses tie-breaker rules to determine who can claim the child. These rules are applied in a specific order.

If only one of the eligible individuals is the child’s parent, the parent has the primary right to claim the child. If the conflict is between two parents, the claim goes to the parent with whom the child lived for more nights during the tax year.

In cases where the child lived with each parent for the exact same amount of time, the tie is broken by income. The parent with the higher adjusted gross income (AGI) for the year is the one entitled to claim the child.

If none of the individuals eligible to claim the child are a parent, the person with the highest AGI among all the eligible taxpayers has the right to claim the child.

Special Agreements and Rules

Beyond the standard tests, the tax code allows for specific arrangements that can alter who is permitted to claim a dependent. These rules are relevant in situations involving multiple support providers or divorced parents, allowing them to agree on who receives the tax benefits.

Multiple Support Agreements

A Multiple Support Agreement is used when a group collectively supports someone, but no single person provides more than 50% of the support. If the group provides over half the support, they can agree to let one member claim the dependent. The designated taxpayer must have provided more than 10% of the support, and every other person who provided more than 10% must sign IRS Form 2120, Multiple Support Declaration, stating they will not claim the person.

Children of Divorced or Separated Parents

Special rules apply to children whose parents are divorced, separated, or live apart. The custodial parent—the parent with whom the child lived for the greater number of nights during the year—is the one who can claim the child. However, the noncustodial parent may be allowed to claim the child if certain conditions are met through a formal agreement.

The custodial parent can release their claim to the dependency exemption, allowing the noncustodial parent to claim it. This is done by signing IRS Form 8332, Release/Revocation of Release of Claim to Exemption for Child by Custodial Parent. The noncustodial parent must attach this signed form to their tax return.