Head of Household is a confusing filing status in federal income tax codes. According to IRS Publication 504, you can file as head of household if you meet three criteria:
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You are unmarried or “considered unmarried” on the last day of the year.
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You paid more than half the cost of keeping up a home for the year.
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A “qualifying person” lived with you in the home for more than half the year (except for temporary absences, such as school). However, if the “qualifying person” is your dependent parent, he or she does not have to live with you. (You must be able to claim an exemption for your father or mother. Also, you must pay more than half the cost of keeping up a home that was the main home for the entire year for your father or mother. You are keeping up a main home for your father or mother if you pay more than half the cost of keeping your parent in a rest home or home for the elderly.)
If you qualify to file as head of household, your will receive a higher standard deduction than if you file as single or married filing separately, and your tax rate usually will be lower too.
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