Question : Dependency Status as student? On Tax Return?
This may be difficult to follow…any knowledge on the subject is appreciated.
When I was 16 I moved out of my father and step-mother’s home and into legal guardianship with my Aunt and Uncle. I was still under their guardianship upon turning 18, at which time the guardianship ends, and when I am considered a legal adult. I enrolled in college as an independent student, and had my college costs covered by Student Loans and grants from Massachusetts, my home state. When I was 19.5, I reconciled with my father, and moved back into him home, though filed taxes for 2008 as having not been a dependent of anyone. I have been providing entirely for myself since I was 18, other than health insurance, because my father never took me off of his, and my phone bill, my father’s attempt at helping me out. He in no way assists with my paying for college, and other than living under his roof when I am home and health insurance, I do not rely on him for any form of financial assistance. The question now is, for my 2009 taxes I believe I filed as a dependent (not entirely sure, need to get a copy of the return from the IRS) and I received a U.S. Fed. 220 refund of $ 200. My step-mother is flipping out about this, claiming that I have committed “fraud” and went as far as to try to get that money taken away from me. In filling out my FAFSA for 2010-2011 school year, I checked “Yes” on Q.57, for having ever been in legal guardianship. It says “are you currently, or were you in…” in terms of guardianship other than parents. This grants me independent status through my school, which greatly increases my financial aid, as my EFC is 0. My step-mother thinks I am lying on that, as well, even though if I did put “no”, I would be really be lying, and if I wasn’t considered independent, my EFC would still be 0, as I am putting myself through college on my own, with no assistance from parents at all. I guess my questions are…in this case, what considers one to be of independent status on both my FAFSA and my Tax Returns? Can my father claim me as a dependent (as he is currently trying to do)?
Also, I can provide court documentation of guardianship upon turning 18, as my school requested. My dad claims he is willing to give the school his tax information, if after the court documents, they request it…but he is NOT WILLING to pay for my schooling.
Again, any help what-so-ever is appreciated. I’ve been trying to sort things out for years, but it is just so complicated.
And sorry about the length.
massachusetts student loans

Best answer:

Answer by spalmer
For fafsa, you are correct. If you were in legal guardianship then you are considered an independent student. Taxes and financial aid are completely separate. If you were a full-time student for at least five months in 2009 and were under the age of 24 then your parents could claim you as a dependent because you were living with them. It sounds like your father is paying for quite a bit if you’re living rent-free and under his health insurance. So, your dad can claim you on taxes. You will need to check that you can be claimed as a dependent on your taxes, and you will give your father your 1098t statement because he will get to claim your education credit (dependents do not qualify).