iStock/ThinkstockTaking care of other people means tax relief for you. More specifically: $4,050 exemptions for dependents, and the child tax credit is worth as much as a thousand dollars.
But, as ABC News Chief Business and Economics Correspondent Rebecca Jarvis notes, “Be responsible about who you’re claiming and make sure that they’re not being claimed elsewhere.”
This is especially important if you’re divorced. Only one parent can list a social security number as a dependent.
“If there’s any kind of overlap there, the IRS is going to flag it,” Jarvis says.
And if your dependents have been issued identity protection pins, you’ll need those.
“But remember, it changes every year. So if you received an IP pin in 2014, you need to make sure you’re using the most current IP pin to file for the 2016 tax year,” she says.
If you didn’t get one in the mail and you’re expecting one, you can retrieve your PIN from the IRS website.
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