Did you know that if you are providing support for your parent(s), you may be able to claim them as a dependent. If you are providing over half the cost of your parent(s) support including: housing costs, food, utilities, medical expenses, entertainment, etc., and your parent’s taxable income is not greater than $3,800 you may claim them as a dependent on your tax return.
If you and your siblings are sharing in the cost of the support, one of you may claim the dependent exemption each year. The group must provide more than half of the parent’s total support and the one who claims the exemption must personally provide more than 10 percent of the support. The other siblings must sign Form 2120, Multiple Support Declaration stating they agree to allow their sibling to claim the exemption. The individual claiming the exemption may change annually. The taxpayers must determine if dependent eligibility requirements have been met annually.