Which parent claims the child as a dependent after divorce?
Under IRS tiebreaker rules, the 'custodial parent' — the one with more overnight visits per year — is the default claimant. The custodial parent can release the exemption to the non-custodial parent by signing IRS Form 8332 for a specific year or future years. The divorce decree alone does not transfer the tax claim to the non-custodial parent.
Form 8332 (Release/Revocation of Release of Claim to Exemption for Child by Custodial Parent) is the IRS form the custodial parent uses to release the child tax credit to the non-custodial parent. It can be signed for one year, multiple specified years, or all future years. The non-custodial parent attaches it to their tax return.
Can both parents claim the same child?
No. The IRS will reject duplicate claims. If both parents claim the same child, the IRS applies tiebreaker rules: the parent with more overnights wins. If overnights are equal, the parent with higher AGI wins. Intentionally claiming a child you're not entitled to can result in penalties and interest.