With Tax Day quickly approaching, it's more important than ever to be knowledgeable about all the rules and, most important, refunds, that apply to you. That could be knowing the breaks you get for being in school or what write offs apply to freelancers. Though parents probably have a lot of tax-related questions on their mind, one they should know the answer to is how old does my child have to be to claim as a dependent?
According to the IRS, in order to claim a child as a dependent, the child must meet the qualifying child test or qualifying relative test. The site went on to note that as long as your child is younger than you and younger than 19, you are able to claim them as a dependent. Additionally, the IRS noted if your child happens to be a student younger than 24 years old by the end of the calendar year, you are able to claim them as a dependent during tax season, too. If the latter is the case, however, your child will not be able to claim themselves on their personal tax return. Though there may be an age limit on claiming your child as a dependent if they are in good health, the IRS noted that if your child is "permanently and totally disabled," you will be able to claim them as long as they are living.
Not sure why claiming a dependent on your taxes is such a big deal? Well, according to TurboTax, for every dependent you claim, you will reduce your taxable income by $4,050. The site noted that dependent rules also apply to tax credits and can be the deal breaker when it comes to owing money and receiving a refund. Being able to write off daycare or medical expenses can be a huge help during tax time, so be sure to look into the benefits that come along with claiming dependents.
