- 5 - dependency exemption deductions, he also is not entitled to head of household filing status, sec. 2(b)(1), for 1998, or to a child tax credit, sec. 24(c)(1), for either 1997 or 1998. However, because petitioner furnished over half the cost of maintaining his home, we find that he is entitled to head of household status for 1997, because Jose and Cathy lived with him for more than one half of that year. Under section 32, an eligible individual is allowed a credit which is calculated as a percentage of the individual’s earned income, subject to certain limitations. Sec. 32(a)(1). Any individual with a qualifying child is an eligible individual. Sec. 32(c)(1). An individual with qualifying children is entitled to a larger credit than is an individual without qualifying children. Sec. 32(a) and (b). As is relevant here, the definition of a qualifying child for purposes of section 32 includes a child of a taxpayer who has the same principal place of abode as the taxpayer for more than half of the taxable year. Sec. 32(c)(3)(A). A qualifying child either must be under the age of 19 (or a student under the age of 24) at the close of the taxable year, or be permanently and totally disabled at any time during the year. Sec. 32(c)(3)(C). Petitioner is not entitled to an earned income credit in 1998 because his income was too great and he had no qualifyingPage: Previous 1 2 3 4 5 6 7 Next
Last modified: May 25, 2011