Citizenship Test

AAA

DEFINITION of 'Citizenship Test'

One of the key criteria set forth by the IRS that a person must satisfy in order to be claimed as someone else's dependent. The citizenship test dictates that the prospective dependent be a citizen of the U.S., a resident Mexico or Canada, or an adopted alien child that has lived with the taxpayer for the entire year. If none of these criteria are met, then the child or person cannot be claimed as a dependent under any circumstances.

INVESTOPEDIA EXPLAINS 'Citizenship Test'

The citizenship test is one of several tests that must be met in order for someone to be claimed as a dependent. The others include the relationship test, residency test and others. This test is not to be confused with the test that is administered to immigrants seeking citizenship in this country.

RELATED TERMS
  1. Corporate Citizenship

    The extent to which businesses are socially responsible for meeting ...
  2. Test

    In technical analysis, it is when a stock price approaches a ...
  3. Resident Alien

    A foreigner who is a permanent resident of the country in which ...
  4. Deferred Tax Asset

    A deferred tax asset is an asset on a company's balance sheet ...
  5. Buffett Rule

    A tax rule proposed in 2011, by President Barack Obama, stating ...
  6. Benefits Received Rule

    1. A theory of income tax fairness that says people should pay ...
Related Articles
  1. Investing

    I am a non-U.S. citizen living outside the U.S. and trading stocks through a U.S. internet broker. Do ...

    The tax implications for a foreign investor will depend on whether that person is classified as a resident alien or a non-resident alien. To be considered a non-resident alien, a person must ...
  2. Retirement

    When am I not required to submit a social security number on my tax return?

    When filing your tax return, you are generally required to include the social security numbers of yourself and the individuals for whom you claim as dependents. However, exceptions do apply. ...
  3. Investing

    What does the law say about non-U.S. citizens buying stocks of U.S. companies? Are there any restrictions?

    The law is very fuzzy on the matter of who may own U.S. securities and for what purpose. The U.S. follows the common law system, which is based on precedent. It evolves to reflect changes in ...
  4. Options & Futures

    As a temporary resident of the US, can I withdraw funds from my Traditional IRA without penalty when ...

    Should you decide to invest in a Traditional IRA and receive a tax deduction for your contribution, the amounts that you later withdraw will be subject to income tax and an additional ...
  5. Professionals

    I am not a resident of the United States, but would like to be qualified as a registered representative ...

    Even if you are not a resident of the United States, you may be eligible to take an abbreviated form of the Series 7 exam. You will have to be registered with the Financial Services Authority ...
  6. Taxes

    What is Value-Added Tax (VAT) and who pays it?

    Learn about the definition of value-added tax, the necessary circumstances that require a business to pay it and when a business is exempt.
  7. Taxes

    What is the difference between gross income and earned income?

    Being able to distinguish between earned income and gross income is an important tool in preparing for and filing your individual tax returns each year.
  8. Taxes

    How much will it cost to hire an accountant to do my taxes?

    Find out how much it costs to hire an accountant and what benefits and services you can expect from your accountant.
  9. Taxes

    Federal Tax Brackets

    Why do we have income tax brackets? What do they do for us? Read this to understand the basics and where to find your own bracket.
  10. Taxes

    After-Tax Balance Rules For Retirement Accounts

    Accumulating post-tax assets can work to your advantage. Find out how.

You May Also Like

Hot Definitions
  1. Portfolio Turnover

    A measure of how frequently assets within a fund are bought and sold by the managers. Portfolio turnover is calculated by ...
  2. Commercial Paper

    An unsecured, short-term debt instrument issued by a corporation, typically for the financing of accounts receivable, inventories ...
  3. Federal Funds Rate

    The interest rate at which a depository institution lends funds maintained at the Federal Reserve to another depository institution ...
  4. Fixed Asset

    A long-term tangible piece of property that a firm owns and uses in the production of its income and is not expected to be ...
  5. Break-Even Analysis

    An analysis to determine the point at which revenue received equals the costs associated with receiving the revenue. Break-even ...
  6. Key Performance Indicators - KPI

    A set of quantifiable measures that a company or industry uses to gauge or compare performance in terms of meeting their ...
Trading Center