Harry and Sally were divorced three years ago. In July of the current year, their son, Joe, broke his arm falling out of a tree. Joe lives with Sally and Sally claims him as a dependent on her tax return. Harry paid for the medical expenses related to Joe’s injury. Can Harry claim the medical expenses he paid for Joe on his tax return
In order to determine whether Harry can claim the medical expenses he paid for Joe on his tax return, we need to consider the rules and regulations set by the Internal Revenue Service (IRS).
According to the IRS rules, the custodial parent typically has the right to claim the child as a dependent for tax purposes. The custodial parent is usually the one with whom the child lives for the greater portion of the year. In this case, since Joe lives with Sally, she would generally have the right to claim him as a dependent on her tax return.
However, there is a particular exception to this rule when it comes to medical expenses. Even if a non-custodial parent, like Harry, is not able to claim the child as a dependent, they might still be eligible to deduct medical expenses paid for the child.
To qualify for this deduction, the following requirements must be met:
1. The child must be a dependent of either parent according to the IRS rules.
2. The non-custodial parent must have provided over 50% of the child's financial support during the calendar year.
3. The custodial parent must sign a written declaration, usually IRS Form 8332, stating that they will not claim the child as a dependent for the specific tax year in question.
Assuming that Harry meets the requirements mentioned above and Sally agrees to sign IRS Form 8332, Harry would then be able to claim the medical expenses he paid for Joe as a deduction on his tax return.
However, it is always recommended to consult a tax professional or review the specific IRS guidelines to ensure compliance with the latest regulations regarding claiming dependents and medical expense deductions.