How to Claim The Child Tax Credit For a Non-Custodial Parent

Child Tax Credit for a non-custodial parent

For divorced or separated parent situations, the custodial parent (the parent with whom the child lived the greater part of the year) can release the child’s exemption to the non-custodial parent. If released, the non-custodial parent can claim the dependent for the exemption and for the child tax credit. In order to claim the Child Tax Credit, the child must be claimed as a dependent on your return.

Claiming the Child Tax Credit for a non-custodial parent

1. Click Client Data on the "Forms Attached" navigation pane.

2. In the Mo. (Number of Months in Home) box for the qualifying child, enter "0."

3. Click the first Codes box. Click Choices, and then double click dependent did not live with Taxpayer due to divorce/other agreement.

4. Click Add a form on the tax return toolbar. In the Enter Schedule/Form Number box, enter 8332. Once you see it in the list, double click it, and the program adds the form to the return.

5. Complete Form 8332.