Elijah, Ben, and Amy help take care of their mother, Hazel, who moved into a nursing home this year. They come to you for help in determining who can claim Hazel as a dependent on their tax return. They furnish you with the following information:

Amy spends significant time with her mother and thinks this should be considered in the analysis. Which of these individuals may claim a dependency exemption for Hazel, if any? Prepare a memo to the clients and to the tax file.

Transcribed Image Text:

Interest income-Hazel Dividend income-Hazel $ 850 $1,500 Taxable pension-Hazel $7,000 Funds from Elijah $9,500 Funds from Ben $6,000 Funds from Amy $1,500