Indiana provides an additional exemption for certain qualifying dependent children. To qualify, the child must be claimed as a dependent on the Indiana return and meet Indiana's requirements for the additional dependent child exemption.
Program Entry
Indiana Return → Basic Information → Dependents Additional Exemption
The Following Information Can Be Added
Select Child
Select the qualifying dependent child for whom the additional dependent exemption is being claimed.
Legal Guardian
Indicate whether you are the legal guardian of the dependent child. A child for whom you are the legal guardian may qualify for the additional dependent exemption if all other eligibility requirements are met.
Additional Dependent Exemption vs. Dependent Claimed for the First Time
The Additional Dependent Exemption allows an additional $1,500 exemption for each qualifying dependent child who meets the state's eligibility requirements. According to state statute, to be eligible for the Additional Dependent Exemption, a dependent child must be a son, stepson, daughter, stepdaughter, foster child, child for whom you are a legal guardian, and/or your spouse’s child, if filing a joint return. He/she must be either under the age of 19 by the end of the tax year, or be a full-time student who is under the age of 24 by the end of the tax year
The Dependent Claimed for the First Time exemption is a special benefit available in the first year a qualifying child is claimed on an Indiana state tax return. Indiana permits a $3,000 exemption instead of the $1,500 exemption for that one tax year. This special exemption is not available if the child could have been claimed for the $1,500 exemption in a prior year, even if the exemption was not actually claimed.
A dependent child may qualify for the Additional Dependent Exemption and also qualify as a Dependent Claimed for the First Time if all requirements are met.
Notes
- The dependent must also be claimed as a dependent on the Indiana return.
- The additional dependent exemption generally applies to qualifying children, including a son, daughter, stepson, stepdaughter, foster child, or a child for whom the taxpayer is the legal guardian.
- A dependent can only be claimed once for the additional dependent exemption.
- Dependents qualifying for the additional dependent exemption are reported on Schedule IN-DEP.
- Dependents qualifying for the additional dependent exemption are reported on Schedule IN-DEP.