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IRS Form — Release of Dependency Exemption

Form 8332 — Release/Revocation of Release of Claim to Exemption for Child by Custodial Parent

Form 8332 is used by a custodial parent to release their claim to the dependency exemption (and Child Tax Credit) for a child to the noncustodial parent. The noncustodial parent must attach Form 8332 to their tax return to claim the child as a dependent. For tax professionals, Form 8332 is critical in divorce situations — the allocation of the dependency exemption and Child Tax Credit between divorced parents must be handled correctly to avoid both parents claiming the same child.

✓ Verified 2026 Form 8332 Rules
✓ Child Tax Credit Transfer Rules Confirmed
✓ Custodial Parent Definition Confirmed
✓ Revocation Rules Confirmed
CTC Transfer
Releases Child Tax Credit to Noncustodial Parent
Annual or Multi-Year
Release Can Cover One Year or Multiple Years
Custodial Parent
Only Custodial Parent Can Release — Cannot Be Ordered by Court
IRC §152(e)
Dependency Exemption Release Authority

Key Rules and Authority

RuleDetail
Custodial ParentParent with whom child lived more nights
CTC TransferFollows Form 8332 — goes to noncustodial parent
AOTC/CDCCCannot be transferred — stays with custodial parent
Multi-Year ReleaseCan cover specific future years
RevocationEffective for years after revocation is filed
Court OrdersCannot substitute for Form 8332 (post-1984 divorces)

What Form 8332 Transfers — and What It Doesn't

When the custodial parent signs Form 8332, they release the dependency exemption and the Child Tax Credit (CTC) to the noncustodial parent. However, Form 8332 does not transfer: (1) the Earned Income Credit (EIC) — always goes to the custodial parent; (2) the Child and Dependent Care Credit (Form 2441) — always goes to the custodial parent; (3) the American Opportunity Tax Credit (AOTC) — follows the dependency exemption but requires the child to be a dependent; and (4) head of household filing status — always goes to the custodial parent. This creates a situation where the noncustodial parent claims the CTC but the custodial parent claims the EIC and head of household status.

Frequently Asked Questions

My client's divorce decree says the noncustodial parent gets to claim the child. Is that enough?
No — for divorces finalized after 1984, a court order or divorce decree is not sufficient to transfer the dependency exemption to the noncustodial parent. The noncustodial parent must have a signed Form 8332 from the custodial parent and must attach it to their tax return. If the custodial parent refuses to sign Form 8332, the noncustodial parent cannot claim the child as a dependent — regardless of what the divorce decree says. The custodial parent's remedy is to seek enforcement of the divorce decree through the family court, not the IRS.
Divorce Tax Planning Advisory

Form 8332 planning — dependency exemption allocation, CTC transfers, EIC vs. CTC optimization — is a critical service for divorced clients. Join the Uncle Kam marketplace.

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Quick Reference
Transfers CTCYes — to noncustodial parent
Transfers EICNo — always custodial parent
Transfers CDCCNo — always custodial parent
Court OrdersNot sufficient — Form 8332 required
Multi-Year ReleaseAvailable
RevocationEffective for years after filing

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