2009 year end babies provide tax exemption

By Brandi Hodges - bio | email

JONESBORO, AR (KAIT) - For the families of babies born in 2009 there will be some extra exemptions in their future!

"Anytime a baby is due is an exciting time whether it's in August or the end of the year," said Dr. Charles C. Dunn.

Newborn Aiden Wilson is providing some extra cheer as we enter the New Year.

"He's eight pounds seven ounces and twenty inches long.  So far he's pretty good," said new mom Melissa Wilson.

His 2009 birth is also going to get his parents a pretty good tax break!

"Having a new baby on your returns is a new personal exemption.  Each name listed on the return is entitled to $3,650 exemption this year," said H&R Block tax expert Jennifer Primm.

"I figured it was too close to the end of the year that he wouldn't matter until next year about the taxes," said Wilson.

Primm said a baby born from January to December 31st of 2009 qualifies for this year's taxes.

"They can claim that baby on their taxes as if they've lived with them all year," said Primm.

While there's always a lot of attention paid to babies born on January 1st of any new year, Primm said babies like Aiden can be very beneficial to families!

"They should be just as excited about being a December 31st baby as a January 1st baby.  Maybe even a little bit more so if you're going to talk about taxes," said Primm.

Doctors say no matter what plans and strategies are going on before show time what really matters in the end is a healthy baby!

"I don't think that the tax deduction thing or being a New Years baby has much to do with it as much as, 'I sure would like to get that baby out'," said Dr. Dunn.

Primm said the dollar amount is straight off your taxable income therefore reducing the amount of taxable income you have.  You can also qualify for an up to $1,000 tax credit per child.

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