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I'm reading between the lines a bit, but I assume you're getting at something like this:

- daughter now in school, you're supporting her
- she graduates next May/June or thereabouts, after which
- she gets a job and becomes self-supporting (hooray!)

So who should get the benefit of her tax exemption? If she's in school at least into May, then you can claim her as a dependent one last time. (The requirement is that she be a full-time student for at least part of five months during the year. I assume that other requirements - support, under age 24, etc. - are met.) It's clearly to your benefit to claim her as a dependent and get that additional exemption. On the other hand, it means that taxes take a slightly bigger bite from her earnings.

I suggest you do as I did - you take the exemption, but reimburse her for the extra tax she then pays. That is, do her tax both ways and give her the difference. It works out fine for her, and you come out marginally better because the reimbursement is less than your tax saving. (All this assumes that your income is larger than hers. If she is stepping into a CEO job or something and will have the greater income, then she should take the exemption and reimburse you!)

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