Some Head of Household rules can make your head spin. People often get confused when trying to figure out if they qualify for the preferable “head of household classification”.

Unmarried persons who provide a home for Qualifying person(s) may file as head of household. This classification entitles the person to a lower rate than single individuals or married individuals filing separate. They also get a higher standard deduction. So when you qualify for this you want to make sure this is the “type” of taxpayer you check off on page 1 of form 1040. The I.R.S. recently reported on their website the following:

Filing Requirements/Status/Dependents/Exemptions: Filing Status If I moved out of my house on July 10, but was not divorced at the end of the year, can I file as head of household and take the earned income credit if I have a minor child? Can I also claim child care expenses?

You do not qualify for the head of household filing status because you and your spouse have not lived apart for the last 6 months of the taxable year and are not considered unmarried. Your filing status for the year will either be married filing separately, or married filing jointly. If it is married filing separately, you will not qualify for the Earned Income Credit and cannot claim a credit based on child care expenses. If you file a joint return with your spouse, you may be eligible to claim these credits. See Publication 503, Child and Dependent Care Expenses and Publication 596, Earned Income Credit.

IRS References:

·Tax Topic 353, What is Your Filing Status?

·Publication 501, Exemptions, Standard Deduction, and Filing Information

·Publication 503, Child and Dependent Care Expenses

·Publication 596, Earned Income Credit

If the parents of a year old child never married but live together with the child for the tax year, and both contribute to the cost of maintaining the household for the child and themselves, may they both file as head of household?

Only one taxpayer may claim the child as a qualifying child for purposes of filing as head of household. Also, a taxpayer filing as head of household must furnish over half the cost of maintaining the household. Therefore, both parents may not file as head of household. For more information, please refer to Publication 501, Exemptions, Standard Deduction, and Filing Information, for more information.

A taxpayer may file as head of household only if ALL of the following requirements are met:

·The individual is a U.S. citizen or resident for the entire year

·The individual is unmarried

·The individual paid more than half the cost of keeping up his/her home

·A qualified person lived with the taxpayer in his/her home for more than half the yr. Exception- the qualified person is T.P.’s parent, the living provision is not necessary but more than ½ the cost of the parent’s main home must be paid for by the T.P.

A Qualified Person – for Head of Household purposes is:

·Any qualifying child if the child is;

1) single, even if the T.P. can or can’t claim them as an exemption

2) the child is married and the T.P. can claim them as an exemption

·The parent for whom he or she can claim an exemption or

·Any qualified relative of the T.P.