Member Of Household Test

AAA

DEFINITION of 'Member Of Household Test'

A test that can be administered to a prospective dependent in lieu of the "relationship test". If a person does not meet the criteria to be considered a close relative by the IRS, he or she may still qualify as a member of household if he or she lived as a member of the taxpayer's household for the entire year. Domestic employees, such as maids and babysitters, are excluded from this treatment.

BREAKING DOWN 'Member Of Household Test'

Both the taxpayer and the prospective dependent can be temporarily absent from the home during the year without jeopardizing the dependency status. This type of absence can be for illness, vacation, education, business, military service or other similar reasons. If a person is born or dies during the year but lived as a member of the household the rest of the year, that person still qualifies as a member of the household.

RELATED TERMS
  1. Relationship Test

    One of several tests that a person must pass in order to be claimed ...
  2. Support Test

    One of five tests that must be passed in order to claim someone ...
  3. Dependent

    An individual whom a taxpayer can claim for credits and/or exemptions. ...
  4. Head Of Household

    A status held by the person in a household who is running the ...
  5. Duty Free

    Goods that international travelers can purchase without paying ...
  6. Tax Deductible Interest

    A borrowing expense that a taxpayer can claim on a federal or ...
Related Articles
  1. Taxes

    How To Claim A Dependent On Your Tax Return

    If you are a caregiver, get to know the rules for claiming a dependent before filing your taxes.
  2. Taxes

    Personal Income Tax Guide

    If the sight of your W-4 has you in the doldrums, read on to learn how to beat the tax blues.
  3. Taxes

    What's a Tax Shield?

    A tax shield is a deduction, credit or other means used to reduce the amount of taxes an individual or business owes to the government.
  4. Taxes

    What's an Indirect Tax?

    An indirect tax is levied on goods or services rather than on an individual or a company.
  5. Taxes

    Understanding Excise Taxes

    An excise tax is an indirect levy charged for the sale or use of a particular item.
  6. Taxes

    Understanding the W-2 Form

    The W-2 Form is a standard Internal Revenue Service (IRS) form that employers are required to furnish employees at the end of each year.
  7. Taxes

    IRS Refund Lost? Here's What to Do

    Don't panic. There are a number of reasons your refund might be delayed – and solutions for each.
  8. Economics

    What's a Deductible?

    With insurance, a deductible is the amount of money the insured pays out-of-pocket before the insurance company pays for the loss.
  9. Taxes

    Explaining Taxable Income

    Taxable income is the net of gross income and allowable deductions.
  10. Taxes

    Why People Renounce Their U.S Citizenship

    It's an irrevocable act but, surprisingly, a growing number of Americans are giving up their citizenship, largely for tax reasons.
RELATED FAQS
  1. Which is better for tax deductions, itemization or a standard deduction?

    Each deduction that you claim may result in a decrease in the amount of taxes that you owe. However, whether you receive ... Read Full Answer >>
  2. Can I add my higher income spouse's name to my Roth IRA in order to raise our contribution ...

    IRS rules prevent you from maintaining joint Roth IRA accounts. However, you may accomplish your goal of contributing larger ... Read Full Answer >>
  3. Does everyone have to file a federal tax return?

    This may come as a surprise to many individuals, but not everyone needs to file a federal tax return. According to the IRS, ... Read Full Answer >>
  4. What is the difference between comprehensive income and gross income?

    Comprehensive income and gross income are similar, but comprehensive income is a specific term used on a company's financial ... Read Full Answer >>
  5. What tax breaks are afforded to a qualifying widow?

    The tax breaks accorded to qualifying widows or widowers include being able to use a tax filing status that allows for a ... Read Full Answer >>
  6. How is income taxed on prorated salary?

    Since yearly income is viewed by the Internal Revenue Service (IRS) as the total amount of income a person has made over ... Read Full Answer >>

You May Also Like

Hot Definitions
  1. Alligator Spread

    An unprofitable spread that occurs as a result of large commissions charged on the transaction, regardless of favorable market ...
  2. Tiger Cub Economies

    The four Southeast Asian economies of Indonesia, Malaysia, the Philippines and Thailand. Tiger cub economy indicates that ...
  3. Gorilla

    A company that dominates an industry without having a complete monopoly. A gorilla firm has large control of the pricing ...
  4. Elephants

    Slang for large institutions that have the funds to make high volumes trades. Due to the large volumes of stock that elephants ...
  5. Widow's Exemption

    In general terms, a widow's exemption refers to the amount that can be deducted from taxable income by a widow, thereby reducing ...
  6. Wedding Warrant

    A warrant that can only be exercised if the host asset, typically a bond or preferred stock, is surrendered. Until the call ...
Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!