Regarding the question about newborn that briefly lives outside womb / @ cue 1:31:45 -- (newborn lives for minutes, hours, or days) and sadly passes away - the newborn can be declared as dependent, but preparer will have to manually submit return and write in (per IRS) "died" as many software programs do not have this option and need to manually enter it. However, if baby is stillborn there is no deduction.