Page 24

All County Welfare Directors Letter No.: 20-10 Page 24 April 30, 2020

In joint custody situations where the person claiming the child as a tax dependent that does not have primary care, the child shall have their household composition based on the household of the parent who has primary care using the Non-Filer Rules.

Joint Custody Example: A parent (Parent 1) is age 35 and has primary care of their child (Child 1), who is age 12. Parent 1 is not planning to file taxes and Child 1 is claimed as a tax dependent by the non-custodial parent not in the home.

Parent 1’s Household Composition: 1) Does Parent 1 expect to file a federal tax return? No. 2) Does Parent 1 expect to be claimed as a tax dependent by another tax filer? No. 3) Parent 1 qualifies for Non-Filer Rules: household consists of Parent 1 and all natural, adopted, or step children under 19 or under 21 if a full time student. (Parent 1 and Child 1) 4) Is Parent 1 pregnant? No. 5) Is anyone included in the household composition pregnant? No. 6) No additional changes, end household composition determination here.

Child 1’s Household Composition: 1) Does the Child 1 expect to file a federal tax return? No. 2) Does the Child 1 expect be claimed as a tax dependent by another tax filer? Yes. 3) Does the Child 1 meet one of the exceptions? Yes (Meets exception 3) 4) Child 1 qualifies for Non-Filer Rules: household consists of the child, child’s parents, and all natural, adopted, or step children under 19 or under 21 if a full time student. (Parent and Child 1) 5) Is the child pregnant? No. 6) Is anyone included in the household composition pregnant? No. 7) No additional changes, end household composition determination here.

Medi-Cal Household Parent 1 Child 1 Family Size Parent 1 Included Included 2 Child 1 Included Included 2