Question

Roy and Linda were divorced in 2016. The divorce decree awards custody of their children to Linda but is silent as to who is entitled to claim them as dependents. If Roy furnished more than half of their support, he can claim them as dependents in 2018.

A) True
B) False

Answer 1

The claim that Roy can automatically claim the children as dependents based on financial support is false. The custodial parent, Linda, is generally entitled to claim the children unless she releases this right by completing the IRS Form 8332.

Step-by-step explanation:

The statement that Roy can claim the children as dependents if he furnished more than half of their support, despite the divorce decree being silent on who is entitled to claim them, is false. According to IRS guidelines for the tax years after 2018, the custodial parent is typically the one entitled to claim the children as dependents, unless the custodial parent releases the claim to exemptions by filling out IRS Form 8332.

Because custody was awarded to Linda, she is generally presumed to be the custodial parent and, therefore, has the right to claim the children as dependents on her tax returns unless there is an agreement stating otherwise or she releases the right to Roy.