Leona Payton - Page 10

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          abode of a person who is a dependent of the taxpayer, if the                
          taxpayer is entitled to a deduction for the taxable year for such           
          person under section 151.                                                   
               In this case, petitioner was not married at the close of               
          1995, 1996, or 1997.  Petitioner is not entitled to dependency              
          exemption deductions for the years in issue as to Racquelle,                
          Rafael, Jamal, Reginald, and Preather as stated above.  However,            
          she is entitled to dependency exemption deductions as to Johnnie            
          for 1995, 1996, and 1997.  Johnnie lived with petitioner, and, at           
          times, with their mother during 1995.  She further testified that           
          her home was “a place he knew he had*** to lay his head***” until           
          1997 when Johnnie moved into a relative’s basement.  Johnnie                
          lived with petitioner more than one-half of the year during 1995            
          and 1996 to satisfy the requirement of section 2(b), but he did             
          not live with petitioner more than one-half of the year during              
          1997.  Therefore, on the basis of the record, we hold that                  
          petitioner is entitled to file her 1995 and 1996 Federal income             
          tax returns as head of household.                                           
          Earned Income Credit                                                        
               Respondent made a computational adjustment disallowing                 
          petitioner’s claimed earned income credit.                                  
               The relevant parts of section 32 provide that an individual            
          is eligible for the earned income credit if: (1) The individual’s           
          principal place of abode is in the United States for more than              

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