Several tax attributes of a child depend upon the child dependency exemption and also upon the residential parent status of the spouse. These include:

Dependency exemption under I. R. C. Sections 151 and 152
Head of Household filing status under I. R. C. Sections 2(b) and 7703(b)
The child and dependent care credit under I. R. C. Section 21
The child Tax credit under I. R. C. Section 24
Education Credits provide by the Hope Scholarship and Lifetime Learning Credits under Section 25A
Contributions to Education IRAs under I. R. C. Section 530
Earned Income Credit under I. R. C. Section 32
Minor’s tax determination ("Kiddie Tax") and filing responsibility under I. R. C. Section 1(g)(5)

SOURCE: DivorceSource