Can Stan Claim His Grandson for the Earned Income Credit (EIC)?

What information would you share with Stan?

a) Stan cannot claim Spencer for EIC.
b) Spencer's mother, Alma, can claim Spencer for EIC.
c) Stan can claim Spencer if Alma agrees.
d) Both Stan and Alma can claim Spencer for EIC.

Answer:

The information share with Stan is b) Spencer's mother, Alma, can claim Spencer for EIC. Therefore, b) Spencer's mother, Alma, can claim Spencer for EIC is correct.

In order to claim a qualifying child for the Earned Income Credit (EIC), certain criteria must be met.

The EIC is a tax credit designed to assist low to moderate-income individuals and families.

Generally, only one person can claim a qualifying child for the EIC in a given tax year.

Considering the scenario with Stan and his grandson Spencer, the most likely option is:

b) Spencer's mother, Alma, can claim Spencer for EIC.

The EIC rules typically grant the right to claim the credit to the parent with whom the child resides for the greater part of the year.

Since Spencer is Stan's grandson, it is presumed that Alma is Spencer's parent, and she is likely eligible to claim him for the EIC, assuming she meets all the other qualifying criteria.

Option a) suggests that Stan cannot claim Spencer for the EIC, which aligns with the general rule that a grandparent cannot claim a grandchild unless certain specific conditions are met.

Option c) implies that Stan could claim Spencer if Alma agrees, but this is not a requirement for claiming a qualifying child for the EIC.

Option d) is not accurate since only one person can claim a qualifying child for the EIC in a tax year.