- 5 - that petitioner is entitled to dependency exemption deductions for Brandon and James for 2001. We sustain respondent on this issue. 2. Child Tax Credits Section 24(a)(1) provides for a “credit against the tax * * * for the taxable year with respect to each qualifying child of the taxpayer”. The term “qualifying child” means any individual if three tests are satisfied. Sec. 24(c)(1). In the present case, the only relevant test is whether the taxpayer is allowed a deduction under section 151 with respect to such individual for the taxable year. Sec. 24(c)(1)(A). We have concluded, however, that petitioner is not entitled to dependency exemption deductions for Brandon and James for 2001. Accordingly, they are not qualifying children, and petitioner is not entitled to the child tax credits for 2001. We sustain respondent’s determination on this issue. 3. Credit for Child and Dependent Care Expenses Section 21(a)(1) provides for a credit against tax in the case of “an individual who maintains a household which includes as a member one or more qualifying individuals”. The term “qualifying individual” means, among other things, a dependent of the taxpayer who is under the age of 13 and with respect to whom the taxpayer is entitled to a deduction under section 151(c). Sec. 21(b)(1)(A).Page: Previous 1 2 3 4 5 6 7 8 9 10 11 Next
Last modified: May 25, 2011