The Internal Revenue Code provides who is entitled to claim a child as a dependent and how to process that claim upon your tax return. As a general rule, the dependency exemption for children of divorced parents goes to the parent who has custody for the greater part of the calendar year.

The simplest method requires a calculation of the number of nights a child spends at each parent's home. However, you have to consider the exceptions to this general rule, that is when a custodial parent agrees to transfer the right to claim the dependency exemption to the noncustodial parent. This transfer of the right to claim the exemption is a negotiated term in many Divorce Judgments and is provided in the Divorce Decree. The Decree requires that the noncustodial parent complete the following acts:

       1. Sign a waiver - IRS Form 8332; and
       2. Attach Form 8332 to the noncustodial parent's tax return.

The IRS Form 8332 can be found on the IRS website.

 

The noncustodial parent must secure the signed form from the other party. In the past, the IRS accepted other written documentation as the best evidence of the party's intentions, such as the Property Settlement Agreement or Divorce Judgment, however, the IRS no longer allows the use of alternative documentation.

 

If you would like to have a consultation with an experienced domestic attorney, kindly contact The Cutler Law Firm at 248-489-8780 or completeTHE CONTACT FORM and an Attorney will promptly respond to your inquiry.