Ask a CPA

There are 5 dependency tests that must be met in order for you to claim your daughter as a dependent on your tax return. The gross income test does not apply to full-time students under age 24. Therefore, it appears the gross income criteria is satisfied. In order to qualify for the support test, you must supply more than 50% of the total spent to support your child. In general, in order to determine if you spent more than 50% of the support, you should include items such as cash, food and lodging, medical and dental costs, educational expenses, car and transportation expenses, recreation and entertainment expenses. If she was not a full-time student, the gross income she is allowed to earn is $3,900 or less for tax year 2013. Speak to your local CPA for additional items that do and do not qualify for the 50% support test.

No. Scholarships received by full time students do not count in the 50% dependency support test. In this case, a full-time student would be one that is in school for at least 5 calendar months.

There are many factors to clarify before you claim your child as a dependent. Generally a special rule favoring the custodial parent applies where divorced or separated parents together provide more than half the child's support.
The custodial parent will meet the dependency support test even if she did not pay half the child's support.
The parents may arrange for the non-custodial parent to claim the child if IRS Form 8332 is signed by the custodial parent and supplied with the non-custodial parent's tax return.
Form 8332 is a waiver of claiming the exemption and the exception waiver can be used for that year only or for future years as well.
Speak to your local CPA about the other criteria in claiming the child and about Form 8332.

The dependent must have been at some time a citizen or resident of the U.S., or a resident of Canada or Mexico or a U.S. national. If the other dependency tests are met, then yes. A child born in a foreign country with one of the parents being a U.S. citizen and one a non-resident alien qualifies as a U.S. citizen and a dependent. Speak to your local CPA for more on the details of claiming the dependent.

If your married child files a joint tax return, then you may not claim him on your tax return. If he files separately, you may claim him. Speak to your local CPA about the tax strategies involved in this situation.

No. The costs of sending a child to a overnight camp cannot be claimed as a child care credit or deduction. Costs for day camp, nursery school, day-care center, or home babysitter for a child under age 13 can be used for a child care credit when both spouses on a joint return earn income or on a single or Head of Household return the taxpayer has earned income.

If you pay someone to watch your child(ren)under age 13 to enable you (and your spouse if you are filing a joint tax return)to work, then you will be able to claim a Child Care Credit for the costs you pay subject to certain limitations on Form 2441.
You will have to supply to the IRS on Form 2441 the care provider's name, address and social security or EIN number.

Tuition paid for a child in first grade or higher cannot be used as a child care credit or a deduction on your tax return.

The amount you pay for nursery school or day-care that enables you (and your spouse on a joint tax return) to earn income can be used to calculate a Child Care Tax credit.

No. The costs of driving a dependent to or from a day-care center, or any other transportation, are not deductible and can not be used in a calculation of a child care tax credit.