It is permissible to give the Zakat to deserving relatives. The Prophet peace be upon him said, “Your relatives deserve more your goodness” But it is not allowed to give Zakat to one’s own children, grand-children or parents and grand-parents. The husband and wife also cannot give Zakat to each other. Because it is your duty to spend on these relatives like you spend on your own needs. You cannot give Zakat to your own self, similarly you cannot give Zakat to these relatives who come under the category of dependents.
“The alms are only for the Fuqara’ (the poor), and Al-Masakin (the needy) and those employed to collect (the funds); and to attract the hearts of those who have been inclined (towards Islam); and to free the captives; and for those in debt; and for Allah’s Cause, and for the wayfarer (a traveler who is cut off from everything); a duty imposed by Allah. And Allah is All-Knower, All-Wise.” [Al-Quran 9:60]
“They ask you as to what they should spend. Say: Whatever wealth you spend, it is for the parents and the near of kin and the orphans and the needy and the wayfarer, and whatever good you do, Allah surely knows it.” [Al-Quran 2:215]
“(Alms are) for the poor who are confined in the way of Allah– they cannot go about in the land; the ignorant man thinks them to be rich on account of (their) abstaining (from begging); you can recognize them by their mark; they do not beg from men importunately; and whatever good thing you spend, surely Allah knows it.” [Al-Quran 2:273]
“And give to the near of kin his due and (to) the needy and the wayfarer, and do not squander wastefully.” [Al-Quran 17:26]