- 6 - For 1997, petitioner’s modified adjusted gross income was less than that of Mr. Pancake. If we apply the section 32(c)(1)(C) tie- breaker rule, Mr. Pancake, and not petitioner, is the individual eligible to claim the earned income credit with respect to Christina and Mitchell. See, e.g., Jackson v. Commissioner, T.C. Memo. 1996- 54. Petitioner maintains that here the section 32(c)(1)(C) tie- breaker rule is inapplicable on the basis that Mr. Pancake failed to identify Christina and Mitchell as his qualifying children on his 1997 return. In this regard, as explained infra, petitioner erroneously relies upon the definition of a qualifying child as it existed before the 1998 amendment. As originally enacted in 1990, section 32(c)(3)(A)2 defined a 2 Former sec. 32(c)(3)(A) provided as follows: (A) In general.–-The term “qualifying child” means, with respect to any taxpayer for any taxable year, an individual–- (i) who bears a relationship to the taxpayer described in subparagraph (B), (ii) except as provided in subparagraph (B)(iii), who has the same principal place of abode as the taxpayer for more than one-half of such taxable year, (iii) who meets the age requirements of subparagraph (C), and (iv) with respect to whom the taxpayer meets the identification requirements of subparagraph (D). [Emphasis added.]Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 Next
Last modified: May 25, 2011