Joann S. Allen - Page 5




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          determined that petitioner’s filing status should be single,                
          asserting that petitioner did not furnish more than one-half of             
          the cost of maintaining the household.  Further, respondent                 
          disallowed the earned income credit, determining that                       
          petitioner’s sons were qualifying children for Mr. Allen, and,              
          since Mr. Allen had a higher adjusted gross income, petitioner is           
          not entitled to the credit.                                                 
          Discussion                                                                  
               1. Filing Status                                                       
               In order to qualify for head-of-household filing status, a             
          taxpayer must satisfy the requirements of section 2(b).  Pursuant           
          to that section, and as relevant herein, an individual qualifies            
          as a head of household if the individual is not married at the              
          close of the taxable year and maintains as her home a household             
          that constitutes for more than one-half of the taxable year the             
          principal place of abode of a son or daughter of the taxpayer.              
          Sec. 2(b)(1)(A)(i).  A taxpayer is considered as maintaining a              
          household only if over half of the cost of maintaining the                  
          household during the taxable year is furnished by the taxpayer.             
          Sec. 2(b)(1) (flush language).  The cost of maintaining a                   
          household includes property taxes, mortgage interest, rent,                 
          utility charges, upkeep and repairs, property insurance, and food           
          consumed on the premises.  Sec. 1.2-2(d), Income Tax Regs.  The             
          cost of maintaining a household does not include the cost of                






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