Question

Which of the following describes the tie-breaker rules for taxpayers claiming benefits, including the earned income tax credit, when a dependent child's parents do not file a joint return?

A. The parent with whom the child spent the greater number of nights during the year takes precedence.
B. If the child spent the same amount of time with each parent, the parent with the lowest adjusted gross income takes precedence.
C. The parent with whom the child spent the greater number of nights and the parent that had the lower AGI concurrently during the year takes precedence.
D. The parent with whom the child spent the fewer number of nights and the parent that had the higher AGI concurrently during the year takes precedence.

Answer 1

The tie-breaker rules for taxpayers claiming benefits, including the earned income tax credit, when a dependent child's parents do not file a joint return involve prioritizing the parent based on the number of nights the child spent with them and their adjusted gross income.

Step-by-step explanation:

The tie-breaker rules for taxpayers claiming benefits, including the earned income tax credit, when a dependent child's parents do not file a joint return are as follows:

1. The parent with whom the child spent the greater number of nights during the year takes precedence. This means that if the child spent more nights with one parent than the other, that parent would have priority in claiming the benefits.
2. If the child spent the same amount of time with each parent, then the parent with the lowest adjusted gross income takes precedence. This means that if the child splits their time equally between both parents, the parent with the lower income would have priority in claiming the benefits.

So, the correct answer is option B: The parent with whom the child spent the greater number of nights during the year takes precedence.