Tax Question
- Thread starter aa_nn
- Start date
No. They will have to be:Originally posted by aa_nn
Can i claim my parents as dependent on my tax return .
They were in US for 4 months on visitors visa.
Sorry for posting non immigrant issue i need help .
please reply.
1) Resident in US as defined by IRS's the residence test ( requires >6 months stay)
2) Get ITIN,
3) Dependent on you for financial support.
aa_nn,
If you can get a ITIN for your parents, then you can claim them as dependents on your tax return. One of my friend did this last year with no trouble. Get the ITIN and save some money. It is very easy process to get the ITIN. In fact, my friend got the ITIN after his parents left USA. It may sound strange, but true. His parents were here for six months. After they left, my friend learned that he can claim his parents as depends. he mailed ITIN application to India..got the signatures and mailed the form to IRS.
Regards,
Lahari
If you can get a ITIN for your parents, then you can claim them as dependents on your tax return. One of my friend did this last year with no trouble. Get the ITIN and save some money. It is very easy process to get the ITIN. In fact, my friend got the ITIN after his parents left USA. It may sound strange, but true. His parents were here for six months. After they left, my friend learned that he can claim his parents as depends. he mailed ITIN application to India..got the signatures and mailed the form to IRS.
Regards,
Lahari
Here are some regulations about dependency exemptions taken from IRS publications. It is up to you how you would like to interpret them and if you will be able to substantiate your claim in a case of an IRS audit:
There are five tests to be met before you can claim a dependency exemption on your tax return:
1. Citizenship. Dependent must be a US citizen or resident (for tax purposes) or resident of Mexico or Canada
2. Relationship or Member of Household. Close kin relatives do not need to live with you. This includes your parents, children, brothers / sisters, stepbrothers / stepsisters)
3. Joint return. If an individual you are claiming as a dependent files a joint return with his/her spouse normally you can not claim a dependency exemption. If your married dependent files a separate return from his/her spouse (MFS status), then you can claim a dependency exemption.
4. Gross Income test. A person you are claiming should have a gross income less than one personal exemption amount (in 2003 one personal exemption was $3,050). Definition of Gross Income - total worldwide income in the form of money, property, or services unless legally exempt from tax. There are three exemptions related to taxpayer's child < 19 yrs. old, full-time student <24yrs. old and permanently, and totally disabled individuals
5. Support. A dependent must have received over one-half of his/her total support from the taxpayer. There is a special Dependency Support worksheet where you can calculate the % of your support money.
Considering the case of your parents being all year in a foreign country - they fail Citizenship test. Gross income test might be OK since their salaries/wages in foreign country are exempt from US taxes. As for Support test, you should keep all your receipts of checks or money transfers you made to your parents. Support test is getting audited by IRS quite offen, especially if your parents live apart from you. You should be prepared to substanciate your support of your parents in a case of an audit. It is up to you to take the risk of claiming your parents as your dependents.
BTW, the rules for getting an ITIN number have been tighten recently. Here is a link:
http://www.visalaw.com/03dec4/2dec403.html
H&R Block Tax Professional (part-time)
EB12 - OR - VSC
RD: 03-19-03
ND: 04-02-03
There are five tests to be met before you can claim a dependency exemption on your tax return:
1. Citizenship. Dependent must be a US citizen or resident (for tax purposes) or resident of Mexico or Canada
2. Relationship or Member of Household. Close kin relatives do not need to live with you. This includes your parents, children, brothers / sisters, stepbrothers / stepsisters)
3. Joint return. If an individual you are claiming as a dependent files a joint return with his/her spouse normally you can not claim a dependency exemption. If your married dependent files a separate return from his/her spouse (MFS status), then you can claim a dependency exemption.
4. Gross Income test. A person you are claiming should have a gross income less than one personal exemption amount (in 2003 one personal exemption was $3,050). Definition of Gross Income - total worldwide income in the form of money, property, or services unless legally exempt from tax. There are three exemptions related to taxpayer's child < 19 yrs. old, full-time student <24yrs. old and permanently, and totally disabled individuals
5. Support. A dependent must have received over one-half of his/her total support from the taxpayer. There is a special Dependency Support worksheet where you can calculate the % of your support money.
Considering the case of your parents being all year in a foreign country - they fail Citizenship test. Gross income test might be OK since their salaries/wages in foreign country are exempt from US taxes. As for Support test, you should keep all your receipts of checks or money transfers you made to your parents. Support test is getting audited by IRS quite offen, especially if your parents live apart from you. You should be prepared to substanciate your support of your parents in a case of an audit. It is up to you to take the risk of claiming your parents as your dependents.
BTW, the rules for getting an ITIN number have been tighten recently. Here is a link:
http://www.visalaw.com/03dec4/2dec403.html
H&R Block Tax Professional (part-time)
EB12 - OR - VSC
RD: 03-19-03
ND: 04-02-03
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