- 8 - pertinent part, defines an “eligible individual” as any individual who has a qualifying child for the taxable year. The Court has determined that the claimed dependents do not meet the definitional requirements of a qualifying individual. Sec. 32(c)(3). As a result, petitioner is not entitled to an earned income credit for 2003. Thus, respondent’s determination that petitioner is not entitled to an earned income credit is sustained. IV. Child Tax Credit We next consider the child tax credit. A taxpayer may be entitled to a credit against tax with respect to each “qualifying child”. Sec. 24(a). The plain language of section 24 establishes a three-pronged test to determine whether a taxpayer has a qualifying child. If one of the qualifications is not met, the claimed child tax credit must be disallowed. The first tine of the three-pronged test requires that a taxpayer must have been allowed a deduction for that child under section 151. Sec. 24(c)(1)(A). As stated supra, the Court has sustained respondent’s determination that petitioner is not entitled to dependency exemption deductions for the children. Thus, petitioner fails the first prong of the test of section 24. The Court accordingly sustains respondent’s determination regarding the child tax credit under section 24.Page: Previous 1 2 3 4 5 6 7 8 9 10 Next
Last modified: May 25, 2011