Can Steve claim his mother as a dependent if he provides $4,000 for her support?

In determining whether Steve can claim his mother as a dependent, several key factors come into play, mainly revolving around the support provided and specific IRS guidelines regarding dependents.

For a taxpayer to claim a relative as a dependent under the qualifying relative definition, the taxpayer must provide more than half of the relative's total support for the year. The total support includes all sources of income and financial assistance that the relative receives, not just what Steve provides. In this case, Steve contributes $4,000 towards his mother’s support.

The crux of the situation lies in the threshold for support; if the total support his mother receives exceeds $8,000, then Steve's $4,000 contribution would not constitute more than half of her support, thus disqualifying her as a dependent. This aligns with the IRS regulations concerning dependency claims, where the dependent must meet the support test criteria.

Consequently, if his mother surpasses the $8,000 support threshold, Steve cannot claim her as a dependent. This is why the answer reflects that because the mother's support exceeds her threshold, Steve is unable to claim her as a dependent based solely on the support he provides.