John, 45 years old and unmarried, contributed $1,000 monthly in 2015 to the support of his parents' household. The parents lived alone and their income for 2015 consisted of $500 from dividends and interest. What is John's filing status and how many exemptions should he claim on his 2015 tax return?

Question

Quizplus · Accepted Answer

John can claim his parents as dependents since he provided more than half of their support for the year. To qualify as head of household, John must also meet the requirements of being unmarried and providing more than half of the cost of maintaining a household for a qualifying person (in this case, his parents). Therefore, John's filing status is head of household. He can claim three exemptions on his tax return: one for himself, one for his mother, and one for his father (since they are his dependents).

John, 45 Years Old and Unmarried, Contributed $1,000 Monthly in 2015