What effect does the number of dependents have on taxes?

Answer by  Vladimir (459)

The number of dependants you claim on your tax return is used to determine qualification for certain tax credits and deductions, including but not limited to the child tax credit.

Answer by  BrianSJ (524)

You are allowed a standard deduction for each dependent that you can claim. This deduction is subtracted from your gross annual income to help determine your gross taxable income. If gross taxable income falls below zero, you owe no income taxes. You may also be eligible for the refund of income taxes deducted from your paychecks during the year.