Sometimes we’re so busy growing up that we forget they’re growing old.
Everyone knows that claiming a dependent on your income tax return can get you a significantly larger refund. For every dependent you claim on your taxes you can claim an extra personal exemption. That’s a large chunk of change you can deduct from your income, thus reducing your tax burden.
But who exactly can you claim? Are you eligible to claim your parents as dependents?
When it comes to taxes there are actually two different types of dependents: qualifying children and qualifying relatives.
Obviously, you can’t claim your parents as qualifying children. So the question becomes, do they meet the requirements for qualifying relatives?
Is your parent a qualifying relative for tax purposes?
In order to claim someone as a qualifying relative they must:
- Have lived with you all year as a member of your household, or be one of the following family members: child, parent, sibling, stepparent, stepchild, step-sibling, half sibling, grandparent, grandchild, child-in-law, parent-in-law, sibling-in-law, uncle, aunt, niece, or nephew
- Be a U.S. citizen or resident, or a resident of Canada or Mexico
- Be unmarried, or married but not filing a joint return
- Not be a qualifying child of you or someone else
- Have a gross income of less than $4,000
- Have more than half of their total support for the year provided by you
In plain English, this means that yes you can claim a parent as a dependent but they have to meet the above requirements.
Are Social Security Benefits included?
As a general rule, Social Security benefits are not included in gross income. For more information about Social Security and Disability benefits, check out our other article, “Claiming Parents as Dependents If They Receive Social Security Benefits“. Be sure to make sure they are tax-exempt, because this could determine your eligibility to claim them as a dependent.
When determining if you provided over 50% of a parent’s total support, be sure to consider
- lodging
- food expenses
- utilities
- repairs
- household expenses
- clothing
- education
- medical and dental expenses
- travel
- recreation expenses
If you support a parent who meets all of the requirements listed above be sure to claim them when you file online this season!
Last year, I was able to claim both my parents on my taxes because they were both unemployed, living with me and receiving no benefits whatsoever. I basically paid for everything and supported them fully.
This past May, my dad begun receiving social security as well as his pension. My mother is still unemployed, receiving no benefits and I still pay all of her bills, since the money my dad is making isn’t sufficient to cover the both of them.
If they file separately (technically she doesn’t have to file at all if she has no income right?), can I claim her as a dependent still?
As an aside to this – my mom did win a $1200 jackpot at the casino with money I let her borrow. She had them take all of the taxes, including federal out at that time. Does she still have to file a return with no income shown other than the gambling winnings?
Hi Bob,
Winnings count as taxable income according to the IRS. The good news is that all winnings are taxed at the same amount; unlike income.
Here is how the IRS taxes gambling winnings:
– $600 or more at a horse track (if that is 300 times your bet)
– $1,200 or more at a slow machine or bingo game
– $1,500 or more in keno winnings
– $5,000 or more in poker tournament winnings
Hi Bob,
You may be able to claim both parents still even with your father receiving social security and his pension. You’ll still need to meet the minimum requirements set by the IRS. Take a look at our other recent article, “Claiming Parents as Dependents if they Receive Social Security Benefits”.
hi dear, I have been providing more than 50% financial support to my parents in 2016, their income is 0$ for 2016 and currently receiving Medi-Cal insurance, can i claim them as my dependents? and if so, will my income consider as their income which may affects their medi-cal eligibility? thank you for your time.
–joyce
Hi Joyce,
Federally, you can claim them without their insurance being affected. However, states can sometimes have slightly different rules. I suggest contacting the Medi-Cal insurance company for further instructions for if their eligibility will be affected.
Me and my husband receive SSI. Our son wants to claim us as dependents on his tax returns. will that hurt our ssi benefits if he does so??
thank you for your help.
Hi Michael,
You can claim your parent as a dependent if you provided at least 50% of their financial support during the year. This support may come in the form of food, housing, medical expenses, clothing, etc. Your parent’s income may not exceed $4,000. This amount does not include any Social Security or Supplemental Security Income benefits they are receiving.
Can my daughter claim me on her taxes as an EIC I am disabled living on SSDI which is over 3900 annually but not taxable I live with her and she provides shelter and food
Hi Stritama,
Your daughter might be able to claim the EIC with you as her qualifying dependent. Take a look at the IRS guidelines HERE.
My disabled mother lived with me all year with no income, then in November she received a disability check with back pay for the whole year. Is this going to keep me from being able to claim her?
Hi Minka,
Based on the information you have shared above, it seems as though you may be able to claim your mother as a dependent on your tax return. I also suggest taking a look at the IRS Dependent Tool on their website. This will ask you a series of questions and provide you with an answer as to whether or not you can claim your mother.
Hi Minka,
Based on the information you have shared above, it seems as though you may be able to claim your mother as a dependent on your tax return. I also suggest taking a look at the IRS Dependent Tool on their website. This will ask you a series of questions and provide you with an answer as to whether or not you can claim your mother.