Have children? See what to do in the IRS – Journal SUN

Approaching the IRS presentation time and doubts are installed in many taxpayers. In the case of those who have children, the questions are even more frequent, since the costs of the descendants also included in the calculation of tax. SUN asked the Deco Protest clarifications to the main issues.

Validate expenses for children

Parents should consult and validate the expenditure of descendants that can give entitled to deductions, but as invoices expenses of dependents are coming with the Tax Identification Number (TIN) of the children, many taxpayers do not know how to do it. The solution is to request a password to finance portal with the son of the tax number. “While other features are not implemented, this is the only way to validate invoices on behalf of dependents,” explained the SOL Ernesto Pinto, lawyer Deco Protest specializing in taxation.

Couples separate pension Food

Who pays a maintenance allowance determined by a court or agreed conservatory must declare this amount in Annex H (deductions) as entitled to a tax deduction of 20% with an annual limit of 5030.64 euros for each dependent. The parent who receives a pension must also declare it as the child is considered an element of their household and can deduct expenses you have with him. “The minor child is considered your dependent, therefore, must be included in your tax return and all proceeds obtained by him,” says Tax Guide Deco Protest. The value of the pension must be stated in Table 4 of Annex A, with code 406. The dependent must be identified.

Couples separated with joint custody

In this case, the cost of the children can be included in both statements. However, the limits of deductions – health and education, for example – with these dependents are halved. “Each parent declares all the costs with the children, leaving the tax authorities deduct up to 50% of the maximum ceiling provided for this deduction,” said the association.

Couples with different tax addresses

In the case of couples with children but still have different tax addresses, there are rules to follow. According explains the Tax Guide Deco Protest, although there children together, can only be delivered a joint statement if the same tax address for at least two years (the time begins to run from the date on which the address is changed in Finance). Thus, separate declarations and have to be made the child can only be declared as a dependent of them. The child should be included in the parent IRS with the same downward from home.