Adjustments to Income, Deductions and Credits

Adjustments to Income

• My spouse is retired and had no earned income. I, however, did have earned income and I participate in my company's retirement plan. If we file married filing jointly, is she eligible to make a deductible traditional IRA contribution based on my income?
• My parents took out a student loan, but I'm now an independent taxpayer making the payments. Who can claim the interest deduction, me or my parents?
• I make support payments to my ex-spouse for her and our two minor children in her custody. Are these payments deductible as alimony?

Itemized and Standard Deductions

• If I were to make a gift of money to a friend or family member in financial difficulties, would I be able to declare it as a charitable gift on my tax return?
• How are deductions handled when married persons file separate returns? Most of the expenses come out of a joint account; must they be split in half?
• I was not able to itemize my mortgage interest last year since I didn't have enough deductions to itemize. Can I add this interest to this year's amount and deduct them both?
• My husband and I have a mortgage on our home, an RV and a time-share. Can we deduct the mortgage interest we paid on all three of these?
• My spouse has dementia and requires in-home care. Is this expense deductible?

Earned Income Tax Credit

• What is the earned income tax credit and how do I know if I qualify?
• Who is eligible for the earned income tax credit when both a child and a grandchild live with the grandparents of the grandchild?
• Do I have to include the child support payments and alimony I receive in income when I compute the earned income tax credit?
• Last tax season, someone claimed my dependents, and I did not send in information to prove I should claim them. Would this affect me getting the earned income credit this year?

Other Credits

• My son is four and goes to pre-K and a private school. Children are required to go to school at age five for kindergarten. Can I write off the tuition I pay the school for pre-K as a child care expense?
• What do I need to do to claim the child and dependent care credit for my daughter in day care?
• Can a noncustodial parent claim the child tax credit?
• What is the American Opportunity Tax Credit for higher education expenses?
• What is the Credit for Other Dependents?