Navigating child support can be tricky, especially when circumstances change. Sometimes, a parent paying child support might become eligible to claim the child tax credit, and other times, they might need to relinquish that right. That’s where a Child Support Credit Removal Letter Sample comes in handy. This letter is a formal way to document the agreement that one parent is giving up their claim to the child tax credit, ensuring clarity and preventing potential tax complications down the line.
Understanding Child Support Credit Removal Letters
A Child Support Credit Removal Letter Sample serves as a written record of a decision made between parents regarding who will claim the child tax credit. It’s like writing down a promise to avoid misunderstandings later. This letter is important because it can prevent both parents from claiming the same child on their taxes, which could lead to delays or audits from the IRS.
Think of it like this: the IRS wants to know who is actually supporting the child. If the custodial parent (the one the child lives with most of the time) agrees to let the non-custodial parent claim the child, this letter helps prove that agreement. It shows the IRS that everyone is on the same page.
Here are some key points to consider when preparing this type of letter:
- Clearly state the child’s name and date of birth.
- Specify the tax year(s) the agreement covers.
- Include both parents’ names, addresses, and Social Security numbers.
Or you may consider the following:
- State that the custodial parent is releasing their claim to the dependency exemption for the child.
- State that the custodial parent will sign IRS Form 8332 (Release/Revocation of Release of Claim to Exemption for Child by Custodial Parent)
- The letter should be signed and dated by both parents.
| Important Information | Details |
|---|---|
| Child’s Information | Name, Date of Birth |
| Tax Year | Specify the tax year or years |
| Parent Information | Names, Addresses, Social Security Numbers |
Letter Example 1: Basic Agreement to Release Claim
[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]
[Date]
[Other Parent’s Name]
[Other Parent’s Address]
Subject: Release of Claim to Child Tax Credit
Dear [Other Parent’s Name],
This letter confirms our agreement regarding the child tax credit for our child, [Child’s Full Name], born on [Child’s Date of Birth], for the tax year [Tax Year]. I, [Your Name], as the custodial parent, agree to release my claim to the child tax credit and dependency exemption for [Child’s Full Name] for the specified tax year.
I will sign IRS Form 8332, Release/Revocation of Release of Claim to Exemption for Child by Custodial Parent, to formally release the claim.
Sincerely,
[Your Signature]
[Your Typed Name]
Agreed:
[Other Parent’s Signature]
[Other Parent’s Typed Name]
Letter Example 2: Agreement Based on Child Support Payments
[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]
[Date]
[Other Parent’s Name]
[Other Parent’s Address]
Subject: Child Tax Credit Agreement - Child Support Consideration
Dear [Other Parent’s Name],
This letter outlines our agreement concerning the child tax credit for our child, [Child’s Full Name], born on [Child’s Date of Birth], for the tax year [Tax Year]. In consideration of your consistent and timely child support payments, I, [Your Name], as the custodial parent, agree to release my claim to the child tax credit and dependency exemption for [Child’s Full Name] for the aforementioned tax year.
I will complete and sign IRS Form 8332 to formalize this release.
Sincerely,
[Your Signature]
[Your Typed Name]
Agreed:
[Other Parent’s Signature]
[Other Parent’s Typed Name]
Letter Example 3: Agreement for Multiple Years
[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]
[Date]
[Other Parent’s Name]
[Other Parent’s Address]
Subject: Long-Term Child Tax Credit Agreement
Dear [Other Parent’s Name],
This letter confirms our agreement regarding the child tax credit for our child, [Child’s Full Name], born on [Child’s Date of Birth], for the tax years [Start Tax Year] through [End Tax Year]. I, [Your Name], as the custodial parent, agree to release my claim to the child tax credit and dependency exemption for [Child’s Full Name] for these specified tax years. This agreement is made with the understanding that [briefly state reason for agreement, e.g., you will continue to maintain health insurance coverage for the child].
I will provide you with a signed IRS Form 8332 for each tax year covered by this agreement upon your request.
Sincerely,
[Your Signature]
[Your Typed Name]
Agreed:
[Other Parent’s Signature]
[Other Parent’s Typed Name]
Letter Example 4: Revocation of Previous Agreement
[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]
[Date]
[Other Parent’s Name]
[Other Parent’s Address]
Subject: Revocation of Previous Child Tax Credit Agreement
Dear [Other Parent’s Name],
This letter serves as notification that I, [Your Name], am revoking our previous agreement, dated [Date of Original Agreement], regarding the child tax credit for our child, [Child’s Full Name], born on [Child’s Date of Birth]. This revocation is effective for the tax year [Tax Year] and all subsequent tax years.
I will no longer be providing you with IRS Form 8332, and I will be claiming the child tax credit and dependency exemption for [Child’s Full Name] on my tax return.
Sincerely,
[Your Signature]
[Your Typed Name]
Letter Example 5: Temporary Release of Claim
[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]
[Date]
[Other Parent’s Name]
[Other Parent’s Address]
Subject: Temporary Release of Claim to Child Tax Credit
Dear [Other Parent’s Name],
This letter outlines our agreement concerning the temporary release of the child tax credit for our child, [Child’s Full Name], born on [Child’s Date of Birth]. I, [Your Name], as the custodial parent, agree to temporarily release my claim to the child tax credit and dependency exemption for [Child’s Full Name] for the tax year [Tax Year] only. This agreement is for one year only due to [brief explanation, e.g., your current financial situation].
I will sign IRS Form 8332 for the specified tax year. After [Tax Year], I will resume claiming the child tax credit unless we agree otherwise in writing.
Sincerely,
[Your Signature]
[Your Typed Name]
Agreed:
[Other Parent’s Signature]
[Other Parent’s Typed Name]
Letter Example 6: Agreement When Parents Share Custody
[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]
[Date]
[Other Parent’s Name]
[Other Parent’s Address]
Subject: Child Tax Credit Agreement - Shared Custody
Dear [Other Parent’s Name],
This letter clarifies our agreement regarding the child tax credit for our child, [Child’s Full Name], born on [Child’s Date of Birth], for the tax year [Tax Year]. As we share custody of [Child’s Full Name], we agree that you, [Other Parent’s Name], will claim the child tax credit and dependency exemption for [Child’s Full Name] for the tax year [Tax Year]. I, [Your Name], will not claim the child tax credit or dependency exemption for that year.
I will sign IRS Form 8332 as needed to support this agreement.
Sincerely,
[Your Signature]
[Your Typed Name]
Agreed:
[Other Parent’s Signature]
[Other Parent’s Typed Name]
In conclusion, a Child Support Credit Removal Letter Sample is a valuable tool for parents navigating the complexities of child support and tax credits. It provides a clear, written record of agreements, helping to avoid confusion and potential tax issues. Remember to always consult with a tax professional or legal advisor to ensure your specific situation is handled correctly.