Question

Imagine that a client has hired you to file a tax return. The client is a single mother with two (2) children and needs your advice as to which filing status and deductions would result in the lowest tax liability. However, your client suspects that her ex-husband may wish to claim the two (2) children on his tax return. Analyze the various filing options that could be available to your taxpayer. Lastly, recommend the filing option that best protects your client in the event of an IRS audit.

Answer 1

Answer:

For force quite a while before 2018, a solitary parent archiving as head of family and making under $75,000 as of creation, can ensure a $1,000 tyke survey credit for each youth.

I would endorse her to record the administration frame as head of nuclear family. It in like manner allows a higher standard reasoning.

Recording as a family generally gives the single parent a lower force rate.

Another reference:

Filing as a household usually gives the single mother a lower tax rate.

It also allows a higher standard deduction.

I would recommend her to file the tax return as head of household.

For tax years before 2018, a single mom filing as head of household and making less than $75,000 as of publication, can claim a $1,000 child tax credit for each child.