TAX COURT OPINION

Case: Krasimir Bakardjiev
Docket Number: 27809-09S
Judge: Colvin
Opinion Type: bench
Filed: 09/22/2010
Pages: 6

UNITED STATES TAX OURT WASHINGTON, DC 20217 KRASIMIR BAKARDJIEV, Petitioner v. COMMISSIONER OF INTERNAL REVENUE, . Respondent ) ) ) ) ) ) ) ) ) O R D E R Docket No. 27809-09S. Pursuant to Rule 152 (b) , Tax Court Rules of Practice and Procedure, it is ORDERED that the Clerk of the Cour shall transmit herewith f the pages of the to petitioner and to respondent a copy transcript of Robert P. Ruwe at Buffalo, New York, co taining his oral of fact and opinion rendered on Septemb r 14, 2010. the proceedings in the ab ve case before Judge findings In accordance with the oral findin s of fact and opinion, decision will be entered for respondent. Dated: Washington, D.C. September 22, 2010 (Signed) Robert P. Ruwe Judge GERVED SEP 23 2010 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 3 BENCH OPINION BY SENIOR JUDGE ROBERT P. RUWE BAKARDJIEV V. COMMISSIONER DOCKET NO.: 27809-09S SEPTEMBER 14, 2010 The Court has decided to render oral findings of fact and opinion in this case and the following represents the Court 's opinion. This opinion shall not be relied upon as precedent in any other case. This proceeding was heard as a small tax case pursuant to the provisiois of.Section 7463 of the Internal Revenue Code and Rules 170 through 175 of the Tax Court's Rules. This Bench Opinion :.s made ursuant to the authority granted by Section 7459( ) of the Internal Revenue Code as amended and Rale 152 of the Tax Court's Rules of Practice and Procedure. Krasimir Bakardjiev appeared on his own behalf. Respondent determined the deficiency in petitioner's Federal income tax for the taxable year 2007 in the amount of $1,850. The issues for decision are whether petitioner is entitled to a ependency exemption and a child tax credit. Some of tle facts have been stipulated and are so found. Petitioner resided in New York at the time Heritage Reportin Corporation (202) 628-4888 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 4 the petition was filed in this Court. Petitioner timely filed his income tax rÁturn for the tax year 2007. Petitioner claimed his son, N.B. as a dependent for the taxable year 2007. Petitioner also claimed a child tax credit in the amount of $1,000 based on N.B. for the taxable tyear 2007. Petitioner is the f ther of N.B. During the year 2007, N.B. did not resid. with petitioner. Petitioner is divorced from N B.'s mother. N.B.'s mother is and was the custodial parent of N.B., and N.B. resided with her during the entire 2007 tax year. N.B.'s mother claimed N.B. as a dependent on her 2007 income tax return. Petitioner provided for N.B.'s support pursuant to a New York Court Order. Petitioner had child support Ëor N.B. deducted from his wages during the taxable year 2007. The New York Court Order provided that petitioner was entitled to an exemption for N.B. if petitioner was current in his support. Petitioner's wife's signature was not on the New York State Court Order. Petitioner did not attach to his 2007 income tax return a Form 8332, release of claim to exemption for child of divorced or separated parents, or any Heritage Reporting Corporation (202) 628&4888 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 5 other signed declaration from N.B.'s mother stating that she will not claim N.B. as a dependent for the taxable year 2007. Petitioner's ex-wife has refused to sign a Form 8332. Section 151(c) allo s taxpayers an annual exemption deduction for each ependent as defined in Section 152. A dependent is ither a qualifying child or a qualifying relative purs ant to section 152( ). A qualifying child for purposes of the exemption must meet four statutory requirements under Section 152( ). One of those requirements is that the individual being claimed as a dependent has the same principal place of abode as the taxpayer for more than one-half of the taxable year. N.B. did not have t e same principal place of abode as petitioner during the taxable year 2007, therefore N.B. is not petitio er's qualifying child under Section 152( ) However, Section 156( provides for an exception where the taxpayer does not qualify under Section 152( ). Section 152( ) provides that the child will qualify as a qual fying child if the custodial parent signs a wri ten declaration that such custodial parent will not cl im the child as a dependent. Heritage Reporting Corporation (202) 628-4888 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 6 In addition, the non-custodial parent must attach such written declarati n to the non-custodial parent's return for the taxab]e year. No such declaration was made by N.B.'c custodial parent, and no form as provided by Sectio 152( ) (2) was attached to petitioner's return for th taxable year 2007. In Miller . Commiss oner, 114 T.C. 184 at (2000) RM 190, we stated that satisfyin the signature requirement is critical to th successful release of the dependency exemption with n the meaning of Section 152( ) (2). As to whether N.B. ould be a qualifying relative, the Court finds that N.B. is not a qualifying relative of petiti ner under Section 152(f) because that term requires that N.B. not be a qualifying child of someone else and, as indicated by the facts, N.B. is a qualifi d child of N.B.'s mother within the meaning of Sectior 152(f). We therefore hold that petitioner is not €ntitled to claim N.B. as a dependent. Under Section 24 ), the taxpayer may claim a child tax credit for each dualifying child. A qualifying child for purpose of Section 24 is a qualifying child as defined n Section 152( ) or Section 152( ), and as the Ce urt has just held, N.B. Heritage Reporting Corporation (202) 628-4888 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 7 is not a qualifying child of petitioner under either of those sections. Therefore, petitioner is not entitled to the child tax credit. Decision will be entered for respondent. This concludes the Court's Be ch Opinion. (Whereupon, at 11:4 a.m., the bench opinion in the above-entitled matter was concluded.) // // // // // // // // // // // // // // // // // // Heritage Reportiqg Corporation (202) 628-4888