Tax Preparation Filing Status and Dependents 2 — Questions and Answers
Question 1: A taxpayer provides more than half the support for their elderly parent who lives in a different home. Which test may they satisfy to claim the parent?
- Qualifying child test
- Qualifying relative test (Correct answer)
- Head of Household test
- Earned income test
Correct answer: Qualifying relative test
An elderly parent who does not live with the taxpayer can be claimed as a qualifying relative if support and income tests are met.
Question 2: Two divorced parents share custody. Who is generally entitled to claim the child as a dependent?
- The parent with the higher income
- The custodial parent (Correct answer)
- Both parents equally
- The parent who claims Head of Household
Correct answer: The custodial parent
The custodial parent — the one with whom the child lives the greater number of nights — generally claims the dependency exemption.
Question 3: What form does a custodial parent use to release the dependency exemption to the noncustodial parent?
- Form 2441
- Form 8332 (Correct answer)
- Form 1040-X
- Schedule EIC
Correct answer: Form 8332
Form 8332, Release/Revocation of Release of Claim to Exemption for Child by Custodial Parent, is used to transfer the dependency claim.
Question 4: Which statement about the Married Filing Jointly status is correct?
- Both spouses must have income
- Both spouses are jointly and severally liable for the tax (Correct answer)
- It always results in a lower tax than filing separately
- It is only available if both spouses are US citizens
Correct answer: Both spouses are jointly and severally liable for the tax
Married Filing Jointly creates joint and several liability, meaning each spouse is fully responsible for the total tax owed.
Question 5: A taxpayer's spouse died in 2024. They have a dependent child. What is the most beneficial filing status for tax years 2025 and 2026?
- Single
- Head of Household
- Qualifying Surviving Spouse (Correct answer)
- Married Filing Jointly
Correct answer: Qualifying Surviving Spouse
Qualifying Surviving Spouse status allows use of Married Filing Jointly tax rates for two years after the spouse's death when there is a qualifying dependent.
Question 6: How many months must a taxpayer have paid more than half the household costs to qualify for Head of Household?
- 3 months
- 6 months
- More than 6 months (Correct answer)
- All 12 months
Correct answer: More than 6 months
To file as Head of Household, the taxpayer must have paid more than half the cost of keeping up a home for more than half the year.
Tax Preparation Filing Status and Dependents 2
A taxpayer provides more than half the support for their elderly parent who lives in a different home.
Which test may they satisfy to claim the parent?