Now that their parents have died, Jason is assuming the responsibility for the care of his disabled sister. Jason told his financial planner that there is a trust for his sister to provide funds sufficient for her to live in an assisted living facility, or to reimburse him for the cost of an at-home caregiver and his sister's other expenses if she stays in his home. He would prefer that his sister live with him but does not want to cause her any problems with tax issues on any income she gets if she does. His sister is adamant that she does not want to be anyone's dependent. Jason is wondering if this situation changes his filing status to head of household. What advice can the planner give to Jason?

1. If his sister's income from the trust is paying for all of her needs, then she is not a dependent on anyone's income tax return.
2. If Jason's sister lives in an assisted living facility, she cannot be a dependent of Jason.