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Child Tax Credit 2018 - 07/26


The U.S. Tax Court ruled that taxpayers without parental rights to their children are unable to claim tax breaks for them. The children lived full-time with an aunt, who adopted them and provided primary financial support. The court ruled that the parents didn’t qualify for the child tax credit and other tax breaks because their children didn’t qualify as dependents for the tax year in question. And since they lived with the aunt, the “same-principal-place-of-abode” requirement wasn’t met. (TC Memo 2018-12)