Case: U.S. Tax Court Upholds IRS Decision Denying Child Tax Credits Due to Insufficient Proof of Qualifying Child Status (T.C. Memo) (IRC §152)

The U.S. Tax Court upheld the IRS’s determination, stating that Taxpayers were not entitled to claim an individual as a qualifying child for tax credit purposes. Taxpayers, a married couple, filed multiple 2020 tax returns, each claiming various dependents. The IRS issued a notice of deficiency disallowing certain credits. The parties stipulated to several issues, leaving only the question of whether an individual was a qualifying child under IRC §152(c). The court held that Taxpayers failed to meet their burden of proving the child had the same principal place of abode as them for more than half of 2020 as ...