Donnell Floyd - Page 6




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          amount for each dependent, as defined in section 152.  Under                
          section 152(a), the term “dependent” means certain individuals,             
          including the son or daughter of the taxpayer, over half of whose           
          support was received from the taxpayer during the taxable year in           
          which such individual is claimed as a dependent.                            
               Subject to exceptions not applicable here, section 152(e)              
          provides a support test for children of parents who are divorced,           
          separated, or living apart.  It provides:                                   

               (1) Custodial parent gets exemption.-–Except as otherwise              
               provided in this subsection, if–-                                      
                    (A) a child (as defined in section 151(c)(3))receives             
                    over half of his support during the calendar year from            
                    his parents-–                                                     
                           (i) who are divorced or legally separated under            
                           a decree of divorce or separate maintenance,               
                           (ii) who are separated under a written                     
                           separation agreement, or                                   
                           (iii) who live apart at all times during the               
                           last 6 months of the calendar year, and                    
                    (B) such child is in the custody of one or both of his            
                    parents for more than one-half of the calendar year,              
               such child shall be treated for purposes of * * * [section             
               152(a)] as receiving over half of his support during the               
               calendar year from the parent having custody for a greater             
               portion of the calendar year * * * [i.e., custodial parent].           

          Moreover, section 1.152-4(b), Income Tax Regs., generally                   
          provides that, in the absence of a custody or divorce decree or             
          written separation agreement, “‘custody’ will be deemed to be               





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