I have a couple of tax questions

[TheSiege]

If my girlfriend is a stay at home mom and has a child with another man, am I able to claim her on my taxes on the years she is able to claim her?

Additionally, is there a point of diminishing returns when it comes to kids on taxes. For example, if I have 6 kids and I am legally allowed to claim all six, would it be better to just claim 4 and let my ex claim 2 because there is no benefit after a certain amount of dependants?

 

[dullard]

You probably don't qualify (I'm not a tax expert though). See here for qualifying child or qualifying dependent: https://turbotax.intuit.com/tax-too...ling-Taxes-as-Head-of-Household/INF23153.html

Yes there is a point of diminishing returns. Once you have enough deductions and that you aren't paying income taxes, having more deductions doesn't do anything. So, of course, there is a limit to the benefit of more deductions. That said, your whole idea flies in the face of the IRS guidelines. The tax filer who pays for more than half of the expenses is the one who gets to claim the child as a dependent. You can't willy-nilly choose which taxpayer you want to claim the child.

 

[SMOGZINN]

Here is the IRS Interactive Tax Assistant that will guide you through who you can claim as a dependent. Based on what you have said, calling her your girlfriend tells me you are not married and are not filing jointly, the answer is probably that you can't claim either of them as a dependent as they fail the relationship test. This is assuming you have not legally adapted the child (if you have it is basically the same as if it was your child by blood).

You can't willy-nilly choose which taxpayer you want to claim the child.

In a custody case a court can assign which parent gets to claim the child as a dependent for tax purposes. I'm guessing that his girlfriend has been assigned the child as a dependent every other year. But since she does not file (since she has no income) he wants to claim the child because he provides half the support for it (perhaps by paying her child support?). You can't do that. You can't even claim your stay at home girlfriend as a dependent or file as Head of Household. This is one of the tax advantages to getting married.

 

[TheSiege]

Well thats not completely true, my divorce decree stipulates who will claim what child in what year regardless of who pays for what. I know I pay for WAY more than my ex for everything for my kids. But yet I can only claim them every other year.

 

[highland145]

Do what my customers do, who gets the most EITC back.

 

[dave_the_nerd]

Do what my customers do, who gets the most EITC back.

Well... there's a contest nobody wants to win.

 

[highland145]

Well... there's a contest nobody wants to win.

Yeah but if you're already claiming 3, might as well farm out the other 2 for more $$, right? Haven't looked in a while but the max was a credit of $3K/kid.