Question

Char and Russ Dasrup have one daughter, Siera, who is 16 years old. In November of last year, the Dasrup’s took in Siera’s 16 year old friend, Angela, who has lived with them ever since. The Dasrup’s have not legally adopted Angela but Siera often refers to Angela as "her sister." The Dasrup’s provide all of the support for both girls, neither girl receives any income during the year, and both girls live at the Dasrup’s residence. Which of the following statements is true regarding who Char and Russ may claim as dependents for the current year?

A. They may claim Siera as a dependent qualifying child and they may claim Angela as a dependent qualifying child.
B. They may claim Siera as a dependent qualifying child they are not allowed to claim Angela as a dependent.
C. They may claim Siera as a dependent qualifying child and they may claim Angela as a dependent qualifying relative.
D. None of these statements is true.

Answer 1

Char and Russ Dasrup can claim their daughter Siera as a dependent qualifying child. Angela, who is not their biological or legally adopted child but lives with and is supported by the Dasrups, may be claimed as a dependent qualifying relative, providing that all criteria set by the IRS are met.

Step-by-step explanation:

To determine who Char and Russ may claim as dependents for the current year, we need to understand the IRS rules regarding qualifying child and qualifying relative. According to the IRS, a qualifying child must be your child, stepchild, foster child, sibling, half sibling, stepsibling, or a descendant of any of them; must be under the age of 19 at the end of the year and younger than you (or your spouse if filing jointly), unless the child is a student; and must live with you for more than half of the year. There are also support and joint return tests to consider.

Based on the information given, Siera is the biological daughter of Char and Russ Dasrup, and she lives with them full-time; thus, she clearly qualifies as a dependent qualifying child. Now, for Angela, while she is not their biological or legally adopted child, she has lived with the Dasrup's for an extended period and is supported by them, which may allow her to be considered a dependent qualifying relative if all other IRS tests are met.

Therefore, the correct answer is: C. They may claim Siera as a dependent qualifying child and they may claim Angela as a dependent qualifying relative, assuming all other IRS criteria for a qualifying relative are met which include that Angela must not have provided more than half of her own support, must not be claimed as a dependent by someone else, and must be a U.S. citizen, resident alien, or national.

Answer 2

B. They may claim Siera as a dependent qualifying child they are not allowed to claim Angela as a dependent.

Step-by-step explanation:

Dasprop does not legally adopt Angela, but Sierra often refers to Angela as "her sister." Dasarupa is supportive of both the girls, no income is earned by the girl during the year, and both the girls remain in the Dasarupa residence.

There is no adoption process with four more ropes here because Angela, who lives with them, is not a legal guardian

so correct option is B. They may claim Siera as a dependent qualifying child they are not allowed to claim Angela as a dependent.