Even if you have signed as an owner-builder on the building permit: 1  you and a builder, contractor or tradesperson must enter into a written contract for domestic building work costing more than $5,000.
1 The parent who the child spends the most time with may claim the dependent. 2  If the child spends equal time between both parents, then the parent with the highest adjusted gross income may claim the dependent. 3  If only one of the taxpayers is the childâs parent, that parent may claim the dependent.
ONLY the custodial parent can claim: 1  head of household filing status due to that child. 2  earned income credit due to that child. 3  the credit for child and dependent care expenses. 4  the exclusion for dependent care benefits (i.e. from the W-2 form). If a parent can claim the child as a qualifying child but no parent does so claim the child, the child is treated as the qualifying child of the person who had the highest AGI for the year, but only if that person s AGI is higher than the highest AGI of any of the child s parents who can claim the child.