The two primary concerns when it comes to divorce? The break down into those related to your children and those related to your finances, and sometimes, these coincide. Who will be claiming the children on your taxes moving forward is a prime example of this. If you are facing a divorce, discuss your questions and concerns with an experienced Chicago divorce attorney today.
Few would deny that raising children is as costly as it is rewarding. Even the IRS understands this, and as a result, it offers some significant tax advantages to those parents who are able to claim their children on their taxes. In other words, the parent who is assigned the right to claim the children on their taxes stands to receive a more sizable refund or have less tax liability due come tax season.
The primary tax credits related to claiming children as dependents include the following:
Additional benefits can include the following:
In order to claim your children on your federal taxes, they must qualify as dependents, which most minor children and some college-aged children do. In order to qualify for the full Child Tax Credit, the following requirements apply:
If the child in question turns 17 on the last day of the tax year, they’re not eligible for the full Child Tax Credit, but the Credit for Other Dependents applies.
In order to qualify for the tax credit that applies to your childcare costs, the following must apply:
The skilled Chicago divorce attorneys at WARD FAMILY LAW appreciate the critical role that claiming your children as your dependents can have on your financial future, and we’re here to help. Your singular focus on your children should be reflected in your post-divorce taxes, so please don’t delay contacting us for more information today.
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