Tax Brake with Robert G. Nath, Esq.

The taxpayer was the father of three, or so ruled a California court when the mother sued to prove paternity. OK, so I'm the father, said Dad, now I get all those tax benefits.

Not so fast, said the Tax Court. You “did not submit any evidence” that you provided over half the cost of maintaining his home as a household for any of the kids. Therefore, no head of household relief. Note that the court focused on the father's failure to “submit evidence.” The burden is always on you to prove entitlement to a tax break.

How about dependency exemptions? He claimed three, but the court allowed none. Again, the father was required to prove that he provided more than half of each child's support for the taxable year, and “by competent evidence.” That means he had to show what the TOTAL support was, and then his portion. Again, “no evidence” meant no exemptions. True enough, the County had picked up the slack on child support by paying to the mom where dad did not. But that's not “child support” under the tax laws. YOU, not the County, have to pay.

Earned income credit? The child must be your child. No problem there, since dad was adjudicated the father in a paternity suit. The kids must also be under age 19. But again, the dad failed “to establish that [the kids] shared petitioner's residence…” for more than half the year.

So, strike three for this delinquent dad. All of which goes to show that if you're going to claim tax breaks for your children, it's best to keep every scrap of paper that will show they depended on your, that you provided for their support, and that you provided a home.

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