|
Posted by Condor on June 6, 2007, 4:39 pm
Please log in for more thread options
> I have tax debt that I incurred before my marraige. I am
> currently in uncollectible status with the IRS. They keep
> any refunds I receive. I'm now unemployed wondering how we
> should file. If my spouse were to claim me as a dependent
> would they then keep his tax return. Should we file
> seperately and, if so, would he be responsible in any way
> for my past tax debt.
A spouse is never the dependent of the other spouse, at
least never for tax purposes. Usually, the best way to file
under these circumstances is for the two of you to file a
married filing joint (MFJ) return with an injured spouse
claim (Form 8379) attached. If you are domiciled in a
community property state, IRS usually will apply one half of
the MFJ refund to your tax debt. If you live in a common
law state (and not to be confused with common law marriage),
also known as a separate property state, IRS will apply an
allocated portion (under these circumstances probably less
than half) of the MFJ refund to your tax debt. It would
help if you told us what state you live in.
Condor
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ------------------------------------------------------- >>
|
|
Posted by bono9763@yahoo.com on June 6, 2007, 4:39 pm
Please log in for more thread options
> I have tax debt that I incurred before my marraige. I am
> currently in uncollectible status with the IRS. They keep
> any refunds I receive. I'm now unemployed wondering how we
> should file. If my spouse were to claim me as a dependent
> would they then keep his tax return. Should we file
> seperately and, if so, would he be responsible in any way
> for my past tax debt.
You can file either jointly or separately, but in neither
case do you become his dependent. If you file jointly, he
can claim injured spouse status by filing form 8379 with
your tax return. This means that the IRS can't take any part
of the refund that is from his earnings.
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ------------------------------------------------------- >>
|
|
Posted by Herb Smith on June 6, 2007, 4:39 pm
Please log in for more thread options
> I have tax debt that I incurred before my marraige. I am
> currently in uncollectible status with the IRS. They keep
> any refunds I receive. I'm now unemployed wondering how we
> should file. If my spouse were to claim me as a dependent
> would they then keep his tax return. Should we file
> seperately and, if so, would he be responsible in any way
> for my past tax debt.
First, a spouse is never a "dependent" of the other spouse.
If you file Married Filing Joint you are allowed to claim
one EXEMPTION each, you claim your children as DEPENDENTS.
If you file as MFJ (and have refund due) the IRS will likely
confiscate the refund to pay your existing tax debt. Seems
fair, as you do owe the money, right? Your husband might not
agree, however.
The situation can be handled, more or less, in one of two
other ways. 1 - File as Married Filing SEPARATE. This will
separate your income from his, your deductions from his, and
result in separate tax liabilities or refunds. On the down
side, if you have minor children you will give up a number
of beneficial credits, including the Earned Income Credit.
2 - Your spouse can request treatment as an Injured Spouse,
claiming no responsibility for your debt. The IRS will
examine the allocation of Joint income, deductions, and
withholding and may allow his refund to stand. Be aware that
this process can add significantly to the processing time
for your return.
If you live in a community property state, neither method
will totally absolve him of paying off some of your debt,
even if you have no income. In such states, half of his
income is considered to be yours and vice versa.
OR, you could step up to the plate, pay off your back taxes
(request an installment plan from the IRS), and get on with
your life. It will not go away by itself.
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ------------------------------------------------------- >>
|
|
Posted by Ernie Klein on June 8, 2007, 1:21 pm
Please log in for more thread options
> I have tax debt that I incurred before my marraige. I am
> currently in uncollectible status with the IRS. They keep
> any refunds I receive. I'm now unemployed wondering how we
> should file. If my spouse were to claim me as a dependent
> would they then keep his tax return. Should we file
> seperately and, if so, would he be responsible in any way
> for my past tax debt.
As others have said, the best thing to do is pay off your
back taxes, but assuming you have reason to put that off,
you can avoid your (and your spouses) refund from being
attached simply by not having any refund to attach.
Adjust your W-4 withholding so you will either have no
refund or end up paying a small amount (but not enough to
incur a penalty). That is the best way to withhold anyway.
Anyone that receives a large refund is making an interest
free loan to Uncle Sam.
--
-Ernie-
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ------------------------------------------------------- >>
|
| Similar Threads | Posted | | Spouse responsible for past IRS debt? | February 21, 2007, 6:48 pm |
| Charles Rangle's back taxes | September 13, 2008, 12:51 am |
| back taxes and lump sum disability payment | April 2, 2007, 5:58 pm |
| How do I get refund back from VA?? taxes were mistakenly withheld for one month in 2007??? | April 10, 2008, 11:06 am |
| Claim to refund of taxes paid in Switzerland | April 11, 2007, 11:47 pm |
| Can I claim a camera to use at work in my taxes? If so, is this expense 100% claimable? | November 15, 2008, 5:41 pm |
| Am I a dependant?? | February 2, 2007, 1:32 am |
| Live-in Mother on SSI... dependant? | March 4, 2008, 10:31 pm |
| Are we back on? | May 23, 2007, 4:43 pm |
| Parents Unfairly Claiming me as Dependant- Advice Needed... | February 7, 2008, 8:12 pm |
|
|
Yahoo! 
Google 
Windows Live 
del.icio.us 
digg 
Netscape 
XML Sitemap