Question

7. Gail can claim Tony on her tax return as a qualifying child for the earned income credit.

TRUE OR FALSE?

NOTE:

• Gail is single and earned $28,000 as a cashier, her only income.

• Gail's son Tony is 17 years old and a full-time student in high school.

•Tony received Social Security survivor benefits of $5,000 in 2019. None of those benefits were taxable. He earned $10,000 during the summer working as a website developer. Tony had no withholding in box 2 of his Form W-2.

•He used his Social Security survivor benefits and wages to provide over half of his own support.

•Gail and Tony lived together all of 2019 and are U.S. citizens with valid Social Security numbers.

Answer 1

Solution: FALSE

Explanation: To be a taxpayer’s qualifying child, an individual must meets all the four tests:

Relationship: Tony is the child of Gail (taxpayer)

Residence: The tax payer and qualifying child have the same principal residence. In 2019 Gail and Tony lived together throughout the year

Age: The qualifying child when a full-time student must be under the age of 24 for at least five months of the year. Tony is under the age of 24 as a full-time student

Support: The qualifying child did not provide more than one-half of his own support in the year however the same is not qualified