What is a Dependent on Taxes? The Definition and Explanation

What is a dependent on taxes? What does it mean to be a dependent? These are questions that many people have but don't know where to find the answers.

In this article, we will provide a definition of what it means to be a dependent on taxes. Keep reading for more information!

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So, what does it mean to be a dependent on taxes?

A dependent is someone who meets certain qualifications and is claimed as a dependent on someone else's tax return.

Dependents can include your spouse, child, parent, or other relative. There are several criteria that must be met in order to claim a dependent.

  • First, the person cannot be filing their own tax return.
  • Second, the person must meet certain income requirements.
  • Third, the person must reside in the United States for more than half of the year.
  • And fourth, the person cannot provide more than half of their own support.

If you are claiming someone as a dependent on your tax return, you will need to provide information such as Social Security number, relationship, and birthdate on your tax return.

Several deductions and credits are available to those who claim dependents on their tax return, such as the child tax credit, dependent care credit, earned income credit, and the (other dependent tax credit).

The other dependent tax credit is worth $500 for each qualifying dependent

Other dependents include; Dependents who are age 17 or older. Dependents who have individual taxpayer identification numbers. Dependent parents or other qualifying relatives supported by the taxpayer.

Dependents living with the taxpayer who aren't related to the taxpayer.

The credit begins to phase out when the taxpayer's income is more than $200,000. This phaseout begins for married couples filing a joint tax return at $400,000.

To find out if you qualify and how much you qualify for, you can use the dependents calculator below.

Dependents Tax Credit Calculator

dependent credit calculator

You can use TurboTax's Dependents Credit Calculator to help determine how much credit you may be able to claim. This calculator takes into account the number of dependents you are claiming, their income, and other factors. So, it's a great tool to use when preparing your tax return.

Who can be claimed as a dependent on taxes?

You can no longer claim the dependent exemption, which was $4,050 for previous tax years, but you still need to know who qualifies as your dependent for other tax benefits.

In order to claim as a dependent on taxes, the person must meet certain qualifications. The most common dependents are children and parents, but there are other relatives who can also qualify.

It is important to note that there are specific income requirements that must be met in order to qualify as a dependent. These income requirements vary depending on the person's relationship to you.

For example, a child can only be claimed as a dependent if their income is less than $4300 per year.

In order to claim someone as a dependent when you file your tax return, they must reside in the United States for more than half of the year. They also cannot provide more than half of their own support.

The five criteria that determine whether or not a child is a dependent

Relationship: A descendant of one of these (grandchild or niece/nephew) must be your child, adopted child, foster child, brother or sister, or a descendant of one of these (grandchild or niece/nephew).

Residence: You must live in the same place for more than half of the year.

Age: You must be between the ages of 19 and 24 and have been a full-time student for at least 5 months. If they are entirely and permanently incapacitated, they may be of any age.

Support: During the year, they must not have given more than 50% of their own support.

Joint Support: For the year, the child cannot submit a joint return.

The four criteria that determine whether or not a relative is a dependent

They aren't a Qualifying Child: They aren't another taxpayer's "qualifying child" or your "qualifying child."

In 2021, the claimed dependent's gross income was less than $4,300.

Total Support: You provide more than half of the year's total support.

Household Member or Relationship: The individual (a friend, girlfriend, or non-blood family) must reside with you or be connected to you for the whole year.

Many taxpayers are surprised to learn that if they have a boyfriend, girlfriend, domestic partner, or acquaintance, they may be able to claim them as a qualified relative.

  • If, throughout the year, they are a part of your family.
  • You and the dependent have a legal connection; you cannot, for example, continue to be married to someone else. (Check your state's laws as well; some jurisdictions don't allow you to list a boyfriend or girlfriend as a dependent even if your relationship is legal.)
  • You fulfill all of the other "qualified relatives" requirements (gross income and support).

Can I claim myself or my spouse as a dependent?

In the event that you file a separate return, you may claim an exemption for your spouse if he or she had no gross income during the year and is not filing a separate return of their own. You will not be able to claim an exemption if somebody else claims your spouse as a dependent.

How to claim a dependent on your taxes

Claiming the dependent tax credit can save you a lot of money on your taxes, so it's important to understand the qualifications and make sure you take advantage of this valuable benefit.

So, if you think you qualify for a dependent tax credit on your taxes, make sure you claim it on your tax return this year. The best way to do this is to use online tax filing.

The online software will help you determine who qualifies as your dependent and walk you through all of the steps needed to claim them on your return.