Question

a. Briefly explain the concept of support.

A.

Support includes amounts spent for​ food, clothing,​ shelter, medical and dental​ care, education, and the like. Support does not include the value of services rendered by the taxpayer for the dependent nor does it include a scholarship received by a son or daughter of the taxpayer.

B.

Support includes amounts spent for​ food, clothing and shelter. Support does not include medical and dental​ care, education, the value of services rendered by the taxpayer for the dependent nor does it include a scholarship received by a son or daughter of the taxpayer.

C.

Support includes amounts spent for​ food, clothing,​ shelter, medical and dental​ care, education, and the like. It also includes the value of services rendered by the taxpayer for the dependent and scholarships received by a son or daughter of the taxpayer.

D.

Support includes amounts spent for​ food, clothing,​ shelter, medical and dental​ care, education, the value of services rendered by the taxpayer for the​ dependent, and the like. Support does not include a scholarship received by a son or daughter of the taxpayer.

b. If a taxpayer provides​ 50% or less of another​ person's support, is it possible for the taxpayer to claim that person as a​ dependent? Explain.

A.

Maybe.​ (1) If the other person does not provide more than half of his or her own​ support, that person is the​ taxpayer's qualifying child​ (if the other tests for a qualifying child are​ met). (2) When several individuals contribute to the support of​ another, it is possible for members of the group to sign a multiple support agreement that enables one member of the group to claim the supported person as a qualifying relative.​ (3) In the case of divorced​ couples, the parent with custody for over half of the year may claim their child as a dependent.​ Similarly, in the case of a written​ agreement, the noncustodial parent may claim their child as a dependent.

B.

No. There are no circumstances where a taxpayer can claim another person as a dependent when he or she provides​ 50% or less of that​ person's support.

C.

Yes. A taxpayer can claim a qualifying child as a dependent even if the child provides more than​ one-half of his or her own support during the year. A parent can claim the child as a dependent as long as the parent provides the remaining support.

D.

Yes. The only circumstances where a taxpayer can claim a person as a dependent when providing for​ 50% or less of support is when the person is a qualifying relative.

c. Does support include the value of an​ automobile? Explain.

A.

​No, support does not include the value of an automobile.

B.

The value of an automobile given to an individual may represent support for that individual as long as that individual uses the automobile for at least​ 25% of the time.

C.

The value of an automobile given to an individual may represent support for that individual. The automobile must be given to the individual and must be used exclusively by the individual.

D.

​Yes, when a qualifying child uses his or her​ parent's automobile, the value of the automobile represents support for that qualifying child.

Answer 1

a. A. Support includes amounts spent for food,clothing,shelter,medical and dental care,education, and the like .Support does not include the value of services rendered by the taxpayer for the dependent nor does it include a scholarship received by a son or daughter of the taxpayer.

b. Yes. A. Maybe.(1) If the other person does not provide more than half of his or her own support, that person is the taxpayer's qualifying child ( if the other tests for a qualifying child are met).(2). When several individuals contribute to the support of another, it is possible for members of the group to sign a multiple support agreement that enables one member of the group to claim the supported person as a qualifying relative.(3) In the case of divorced couples , the parents with custody for over half of the year may claim their child as a dependent.Similarly , in the case of a written agreement , the noncustodial parent may claim their child as a dependent.

c . C. The value of an automobile given to an individual may represent support for that individual.The automobile must be given to the individual and must be used exclusively by the individual.