Ms.Dolan,an unmarried individual,invited her elderly uncle,Martin,to move into her home in January of this year.Martin's only income item was $2,390 of taxable interest on a savings account.Ms.Dolan provides over 90% of her uncle's financial support.What is Ms.Dolan's filing status and number of exemptions for the year?

Question

Quizplus · Accepted Answer

Ms. Dolan can file as head of household because she provided more than 50% of the cost of keeping up a home for herself and at least one other qualifying person (her uncle). Since her uncle is a dependent, she can claim him as an exemption, resulting in a total of two exemptions.

MsDolan,an Unmarried Individual,invited Her Elderly Uncle,Martin,to Move into Her Home