The IRS is finally wising up. Before when a couple divorced the first to file typically got the kids, even if they were not entitled. It would not matter what the divorce decree stated, the recourse was to go back to court and get the judge to force the claimant to surrender the funds to the correct party.
One client just threw up his hands stating that it would cost $2,000 to get the $1,000 from his ex, so she won that battle easily.
Another way to address this issue is to have a Form 8332 on hand for all years until the kids are 18. A Form 8332 is a Release/Revocation of Release of Claim to Exemption for Child by Custodial Parent. This allows the true claimant to supersede the spouses claim on a tax return.
Now if there is an issue the IRS just hangs onto both sides refunds until the parties solve the situation in their filings.
Divorce is never easy. Moving the kids from household to household is not easy on any concerned. But at least now the IRS has solved the problem from their end.