November 23, 2011 8:07 pm

Dependency Exemptions

A fixed deduction ($3,700 in 2011) is allowed to every taxpayer who supports another person and meets other tests. The deduction is called a dependency exemption.

Conditions for dependency exemptions. There are 2 classes of dependents: qualifying children and all other qualifying individuals. Different conditions apply to each class of dependents.

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FACT: 

Through July 31, 2010, 3,833 pages of federal regulations have been issued regarding the new law.

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