Who Can Claim the Children on Their Tax Return?

As an experienced Syracuse family law attorney serving client across Central New York, I often asked: "Who gets to claim the children as dependents on their tax return?" While tax laws are primarily governed by the federal Internal Revenue Service (IRS), New York State has its own considerations that align closely with federal rules. In this post, we'll break down the key guidelines to help you understand your options.

Understanding Federal Tax Rules for Claiming Dependents

At the federal level, the IRS determines who can claim a child as a dependent, which can qualify you for benefits like the Child Tax Credit, Earned Income Tax Credit, or head-of-household filing status. To claim a child, they must meet the IRS's "qualifying child" criteria: typically, the child must be under 19 (or under 24 if a full-time student), live with you for more than half the year, and not provide more than half of their own support.

In cases of divorce or separation, only one parent can claim the child as a dependent each tax year as the IRS doesn't allow splitting or sharing the dependent status. By default, the "custodial parent" (the one with whom the child spends the most nights during the year) has the right to claim the child. If custody is exactly 50/50 and the child spends an equal number of nights with each parent, the IRS tiebreaker goes to the parent with the higher adjusted gross income (AGI).

However, the custodial parent can choose to release their claim, allowing the non-custodial parent to claim the child instead. This arrangement is often negotiated in divorce settlements to balance financial responsibilities, such as offsetting child support payments.

Special Considerations in Divorce or Separation Agreements

During a New York divorce, custody arrangements outlined in your parenting plan or court order play a crucial role in tax claims. For instance, if your agreement specifies alternating years for claiming dependents (e.g., Parent A claims in even years, Parent B in odd years), this can be enforceable as long as it complies with IRS rules. It's essential to include clear language in your divorce decree about who claims which children and under what conditions, as this can prevent future disputes.

New York State Tax Implications

New York State income taxes generally follow federal guidelines for dependents, meaning if you claim a child on your federal return, you can typically do the same on your state return. However, New York offers its own child tax credit and dependent exemptions, which can provide additional savings. For example, the Empire State Child Credit mirrors the federal Child Tax Credit but is available to New York residents meeting income thresholds.

Contact Us Today

If you're going through a divorce or separation in New York and have questions about claiming children on your taxes, contact our office today for a consultation with an experienced Syracuse family law attorney.

Disclaimer: This blog post is for informational purposes only and does not constitute legal advice. Laws and guidelines can change, so always verify with current statutes or a professional.