Can I claim my disabled adult brother as a dependent even though he was denied SS benefits?

The good news is that the IRS and Social Security Administration use different standards for determining disability, so a denial from SSA doesn't automatically disqualify your brother from being considered disabled for tax purposes. For IRS purposes, your brother is considered disabled if he "cannot engage in any substantial gainful activity because of a physical or mental condition" and a doctor determines the condition has "lasted or can be expected to last continuously for at least a year or can lead to death." If you're audited, you'd want to have: 1. Medical records documenting his condition and limitations 2. Statements from his doctors about his inability to work 3. Documentation showing you provided more than half his support 4. Proof he lived with you for the entire year 5. Evidence of his limited income I'd suggest getting a letter from his current doctor specifically addressing his inability to work according to the IRS definition. Keep records of all medical expenses, housing costs, food, utilities, etc. that you pay for him. Also document any income he receives (sounds like zero in this case). The IRS is more concerned with whether you're providing over half his support and if he meets the residency and relationship tests, which it sounds like he does.

After dealing with a similar situation with my disabled sister, I found this amazing tool called taxr.ai (https://taxr.ai) that was super helpful for navigating dependency status questions. I was confused about all the different tests and requirements, and this tool analyzed our specific situation and gave me clear guidance on what documentation I needed to keep. It walked me through the support test calculations and helped me understand exactly how the IRS would view my case. The best part was that it clearly explained the difference between SSA disability standards and IRS disability standards - they're totally different systems! I uploaded some of her medical documents and it even highlighted the specific language I should make sure her doctors included in their assessments.

I just wanted to follow up after trying taxr.ai that someone recommended here. It was actually super helpful for my situation with my adult son with autism. The tool walked me through exactly how the IRS defines disability compared to Social Security, and gave me a checklist of documentation I needed. What I found most valuable was the support test calculator that helped me figure out exactly how much I was contributing to my son's support. Turns out I was overthinking it - I'm providing way more than the 50% threshold. I had my son's doctor write a letter using the specific disability language the tool suggested, and I feel SO much more confident about claiming him as a dependent now. Definitely helped clear up confusion about what counts as "support" too.

If you're having trouble reaching the IRS to get a straight answer about your brother's situation, I highly recommend Claimyr (https://claimyr.com). I was in disability limbo with my daughter for months and couldn't get anyone at the IRS to clarify what documentation I needed. After trying to call the IRS for WEEKS and always getting the "call volume too high" message, I used Claimyr and got connected to an IRS agent in about 20 minutes. They have this interesting system that keeps calling the IRS for you until it gets through, then calls you back when an agent is on the line. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c The agent I spoke with confirmed that my daughter's medical documentation was sufficient even though she was denied SSDI, and explained exactly what records I should keep for the "support test." Seriously saved me months of stress and uncertainty.

I have to admit I was completely wrong about Claimyr. After posting my skeptical comment, I was still getting nowhere with the IRS on my own (shocking, I know). I finally broke down and tried it last week because I needed clarification about claiming my father-in-law as a dependent. I expected it to be a waste of money, but within 35 minutes I was actually talking to a real IRS agent! No hours of hold music, no random disconnects after waiting forever. The agent answered all my questions about the disability documentation requirements and confirmed that I was interpreting the support test correctly. I can't believe I spent 3 months trying to get through when I could have resolved this in one afternoon. Lesson learned - sometimes it's worth paying a little to save your sanity when dealing with government bureaucracy.

One thing that hasn't been mentioned yet is the importance of the gross income test for adult dependents. Even if your brother is disabled, he still has to meet this test which generally means he can't earn more than the standard deduction ($13,850 for 2023). Since you mentioned he has zero income, this shouldn't be an issue, but it's important to keep track if he starts receiving any kind of income, even non-taxable income like certain disability benefits, as that could affect other tests. Also, keep receipts for EVERYTHING you pay for related to him - housing, food, medical expenses, clothing, etc. Calculate the fair rental value of the lodging you're providing too. Be extremely detailed in your documentation.

Has anyone had experience with the "qualifying relative" rules for a disabled family member who isn't your child or parent? My niece lives with me and has severe disabilities but I'm confused about which rules apply to her situation.

I went through a very similar situation with my adult disabled sister a few years ago. The SSA denial was definitely frustrating, but as others have mentioned, the IRS uses completely different criteria for disability determination. One thing I'd add that really helped me was creating a detailed monthly expense log showing exactly what I was paying for versus what my parents contributed. This made the "more than half support" calculation crystal clear if I ever got audited. I tracked rent/utilities (allocated based on household size), groceries, medical expenses, transportation, clothing - everything. Also, make sure to get multiple medical opinions documented if possible. I had my sister's primary care doctor, neurologist, and pain management specialist all write letters specifically addressing her inability to work according to the IRS definition. Having multiple medical professionals corroborate the same conclusion made me feel much more confident about the disability determination. The good news is that once you have the proper documentation, this becomes much more straightforward in future years. Keep digital copies of everything and create a filing system now - it'll save you so much stress later. Your brother is lucky to have someone looking out for him during such a difficult time.

This is such a helpful and comprehensive thread! I'm dealing with a similar situation with my adult son who has autism and intellectual disabilities. He was also denied SSDI initially, which was incredibly disheartening. One additional point I'd like to add - make sure you understand the difference between "totally and permanently disabled" for tax purposes versus just meeting the dependency tests. If your brother qualifies as totally and permanently disabled, you might be eligible for additional credits like the Credit for Other Dependents, which can be worth up to $500. Also, I found it really helpful to create a simple spreadsheet tracking all support expenses month by month. This way you can clearly demonstrate that you're providing more than 50% of his total support. Include things like: - Your share of rent/mortgage and utilities - Food expenses - Medical costs (including insurance premiums if you're covering him) - Transportation costs - Personal care items The IRS Publication 501 has some great worksheets for calculating support that really helped me organize everything. Don't let the SSA denial discourage you - the tax code recognizes that people can be unable to work even when SSA doesn't agree. Your brother is fortunate to have your support during this difficult time.