Could a parent claim an Illinois dependent exemption for a child based only on paying child support?

Plain-English summary

A parent could claim the child on the Illinois return only when that parent was also allowed to claim the child on the federal return. Illinois used the number of dependent exemptions reported federally rather than creating a separate child-support-based eligibility rule.

IDOR directed the taxpayer to the federal Form 1040 instructions, the IRS, or a federal tax adviser to determine which parent qualified. The Illinois statute also did not require a parent to pay the child any portion of the tax savings or refund resulting from the exemption.

What this means for you

Resolve federal dependent eligibility first, including any custodial-parent release. Then carry the permitted number of dependents to the Illinois return.

Common questions

Q: Did paying child support alone establish the Illinois exemption?
A: No. The parent had to qualify for the federal exemption.

Q: Did Illinois require sharing the refund with the child?
A: No. IDOR found no such requirement in the Illinois Income Tax Act.

Citations and references

• 35 ILCS 5/204(a)-(c)
• IRC § 151
• Form IL-1040, Line 10a

Subject

Exemptions

Source

• Landing page: https://taxarchive.illinois.gov/research/legal/letter-rulings/income-tax/2010.html
• Original PDF: https://tax.illinois.gov/content/dam/soi/en/web/taxarchive/research/legal/letter-rulings/income-tax/2010/ig100006.pdf

Original ruling text

IT 10-0006-GIL 02/26/2010 EXEMPTIONS
General Information Letter: Taxpayers are allowed the same number of exemptions for
dependents in computing Illinois net income as are allowed for federal income tax
purposes.
February 26, 2010
Dear:
This is in response to your letter dated February 19, 2010, to Director of Revenue Brian Hamer, which
has been forwarded to me for response. The nature of your request and the information you have
provided require that we respond with a General Information Letter, which is designed to provide
general information, is not a statement of Department policy and is not binding on the Department.
See 86 Ill. Adm. Code 1200.120(b) and (c), which may be found on the Department's web site at
www. tax.illinois.gov.
In your letter you have stated the following:
I have some important serious questions to ask you regarding the State of Illinois
income taxes filing and returns people/parent filing a child or children whether the
parents male/female child live(d) in the same household or separately.
Director Hamer my first question is: if the State Department of Revenue Services of
Illinois has ordered an absent parent male or female to pay child support to a minor
child or a medical disabled child where a paternity test has established parentage can
the parent male or female claim the minor child on his or her State of Illinois income tax
forms if he or she is paying child support.
Director Hamer my second question is: How much the State of Illinois Department of
Revenue Services pay a parent male or female separately or jointly when he or she
carry a minor child or children whether there is or is not [lines illegible].
Director Hamer my third question is: Can a parent where the minor child or children is
living with give the absent parent male or female permission to claim a child how does
the Illinois State Department of Revenue Services apply that to the income tax filing of
the parent male or female filing or if the other/absent parent initially male or female just
take it upon themselves without your permission and claim your or their child on his or
her own show does the Illinois State Department of Revenue handle or explain this
situation to the other parent who has the child in their care and have been since birth?
Director Hamer my fourth question is: Is that do the parent claiming the child have give
the minor child any of the tax refund even if the child has never life with him or her in the
same household except when the absent parent lived in the same household for about
10 months years ago?
Response
Section 204(a) of the Illinois Income Tax Act (35 ILCS 5/205) allows each individual to claim one
exemption for himself or herself in computing net income subject to Illinois income tax. Section
204(c) allows each individual to claim an additional exemption “for each exemption in excess of one
allowable to such individual taxpayer for the taxable year under Section 151 of the Internal Revenue

IT 10-0006-GIL
February 26, 2010
Page 2
Code.” Under Section 204(b), the amount of each allowable exemption is $2,000. There is nothing in
the Illinois Income Tax Act that requires a parent to pay a child for any tax savings that result from
claiming an exemption for the child.
Under these provisions, a parent is allowed to claim an exemption for a child on the parent’s Illinois
income tax return if, and only if, the parent is allowed to claim an exemption for the child on the
parent’s federal income tax return. See Line 10a of the Form IL-1040, Individual Income Tax Return,
where the number of exemptions is taken from the federal income tax return. In order to determine
which parent may claim a federal income tax exemption for the child in each of your questions, you
will need to ask the Internal Revenue Service or a federal income tax advisor or follow the directions
on pages 16 through 20 of the federal Form 1040 instructions.
As stated above, this is a general information letter which does not constitute a statement of policy
that applies, interprets or prescribes the tax laws, and it is not binding on the Department. If you are
not under audit and you wish to obtain a binding Private Letter Ruling regarding your factual situation,
please submit all of the information set out in items 1 through 8 of Section 1200.110(b). If you have
any further questions, you may contact me at (217) 782-7055.
Sincerely,

Paul S. Caselton
Deputy General Counsel – Income Tax