Tax Tips |
Tax Tip
Overview
- Personal exemptions reduce the amount of your taxable income.
- The personal exemption amount for 2008 is $3,500. This amount may be reduced, but to not less than $2,333, if you're a high-income taxpayer.
- Claim your own exemption unless you're eligible to be a dependent on someone else's return.
An exemption allows you to reduce the amount of your total taxable income. The personal exemption amount for 2008 is $3,500, but this amount may be reduced depending on the amount of your adjusted gross income.
If you file a return, you generally can claim an exemption for yourself, and if you're married, one for your spouse. But you can't claim your exemption if you're the dependent of another person, even if that person doesn't claim an exemption for you.
There are 2 types of dependents: qualifying children and qualifying relatives.
Whether the person you want to claim as a dependent is a qualifying child or qualifying relative, that person generally cannot file a joint return and that person generally must be a U.S. citizen or resident. See IRS Publication 17 for exceptions.
See IRS Publication 501 for details about these rules, including exceptions that apply.
If you file a return, you generally can claim an exemption for yourself, and if you're married, one for your spouse. But you can't claim your exemption if you're the dependent of another person, even if that person doesn't claim an exemption for you.
There are 2 types of dependents: qualifying children and qualifying relatives.
Whether the person you want to claim as a dependent is a qualifying child or qualifying relative, that person generally cannot file a joint return and that person generally must be a U.S. citizen or resident. See IRS Publication 17 for exceptions.
See IRS Publication 501 for details about these rules, including exceptions that apply.
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Related IRS Forms & Publications
- Form 8332 - Release of Claim to Exemption for Child of Divorced or Separated Parents
- Publication 501 - Exemptions, Standard Deduction and Filing Information
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