This chapter discusses exemptions. The following topics will be explained.

• Personal exemptions -- You generally can take one for yourself and, if you are married, one for your spouse.
• Exemptions for dependents -- You must meet five exemption tests for each exemption you claim. If you are entitled to claim an exemption for a dependent, that dependent cannot claim a personal exemption on his or her own tax return.
• Phaseout of exemptions -- You get less of a deduction when your taxable income goes above a certain amount.
• Social security number (SSN) requirement for dependents.

Exemptions reduce your taxable income. Generally, you can deduct $2,750 for each exemption you claim in 1999. How you claim an exemption on your tax return depends on which form you file.

If you file Form 1040EZ, the exemption amount is combined with the standard deduction amount and entered on line 5.

If you file Form 1040A or Form 1040, follow the instructions for the form. The total number of exemptions you can claim is the total in the box on line 6d. Also complete line 23 (Form 1040A) or line 38 (Form 1040) by multiplying the total number of exemptions shown in the box on line 6d by $2,750

If your adjusted gross income is $94,975 or more, see Phaseout of Exemptions, later.

Previous | Next

Publication 17 | 1999 Tax Year Archives | Tax Help Archives | Home