I'm not a tax expert, but I was a college student. It will be benificial to you and your husband to claim her as a dependant for your financial sakes. But, for her, it's better if she claims herself. She can get more money back, plus, and this is a big one, she can get much more financial aid if she's responsible, in the eyes of the IRS, for her own finances (since she probably doesn't make much money right now.) If you and your husband don't make a lot of money, or if her tuition is cheap, then I would say you guys claim her. But, for her future, I would suggest she claim herself and get that break on her tuition. I have $60,000 in student loan debt because I didn't get much help. It's terrible!