Can this effect my alimony?

[FHC]

What is the name of your state? NC

I have been seeing a man for approx 2 years. I have been divorced for 5 yrs and receive alimony and child support. I never asked for alimony. I only wanted CS, but ex's attorney suggested the majority of the support be allocated as alimony for tax benefits to ex. I unfortunately agreed and now realize that that was a poor decision, but one I have to live with.

My question is, if my BF's 12yo son stays in my home during the school week, will it effect my alimony? BF does not spend the night in my home on a regular basis. He does stay occassionally when my kids are with their dad. His son would stay during the week so that he could ride the school bus and continue attending the school he has been going to for the last 2 years. BF has an apartment nearby, but unfortunately not in the "right" school district. I would like to help this child and BF, but do not want to jeopardize my own kids since all money I receive goes towards their expenses.

Any advice offered would be appreciated. I have no idea what the cohabitation clause in the agreement entails. The language is vague, in my opinion. Would BF's child staying in my guest room 5 out of 7 nights be cohabitation by NC law? BTW, BF contributes nothing to my household expenses.What is the name of your state?

 

[Zigner]

Alimony aside -
Why should we help you defraud the school district?

 

[Silverplum]

Alimony aside -
Why should we help you defraud the school district?

Indeed. We don't help posters break the law.

 

[fairisfair]

Alimony aside -
Why should we help you defraud the school district?

oh, Ziggy, it's not just the school district.

ya don't really think the boyfriend packs it in at midnight and heads for home, do ya????

 

[Zigner]

oh, Ziggy, it's not just the school district.

ya don't really think the boyfriend packs it in at midnight and heads for home, do ya????

Well...I did say "Alimony aside"

 

[FHC]

I'm sorry to upset everyone. My intention was not to commit fraud. I was trying to help this boy stay in a school that has been beneficial for him as he has had some educational difficulties and a lot of upheaval in his life. I apologize, but that is why I posted before making any decision. I certainly didn't expect all the hostility. I was simply checking out my thought pattern and obviously it is flawed. I guess it will be sink or swim for the kid. I am certainly not going to do anything to jeapordize my children. Thank you for your feedback.

 

[LdiJ]

I'm sorry to upset everyone. My intention was not to commit fraud. I was trying to help this boy stay in a school that has been beneficial for him as he has had some educational difficulties and a lot of upheaval in his life. I apologize, but that is why I posted before making any decision. I certainly didn't expect all the hostility. I was simply checking out my thought pattern and obviously it is flawed. I guess it will be sink or swim for the kid. I am certainly not going to do anything to jeapordize my children. Thank you for your feedback.

You do realize that child support orders are not permanent? Just because you agreed to an alimony/child support split 5 years ago doesn't mean that you are stuck with it now. You can file for a child support modification to bring child support up to state guidelines, and you can voluntarily ask the court to vacate any alimony orders.

To be honest, your current arrangement is tax fraud because its characterizing child support as alimony, which is a huge no-no. Since the IRS announced in December 07 that they have reinstituted random audits, it makes it far more likely that you will get caught.

That doesn't make it right for you to assist in defrauding the local school system by helping your boyfriend cheat, but it does mean that you really should modify the support anyway, to make it legit.

You should be enouraging your boyfriend to move somewhere within the district where he wants his child to attend school.

 

[soon2bstep]

Op

the "boyfriends child" stays during the week to attend a specific school.....is it ordered somehow the child must remain in a specific school district? i know with my stepdaughter she is in one of the best school districts in her area and in the hick town the judge actually made it part of the order that if for any reason her mom "moves" she has to show the school is better(but that was also b/c fiance had to fight just to get his daughter IN school).....

my question to you is, how does your alimony/cs affect this child and how does it affect yours? also, the irs says in order for alimony to be calculated it has to be documented as alimony, NOT as child support....stepsons mom argues she doesnt owe IRS any money due to alimony she never claimed, even though we furnished an agreement SHE forced him to sign by claiming non support to his military command, and she typed it and it even stated the amount for HER and the amount for STEPSON.....now she's paying for it and doesnt think she should have to but the irs considers alimony an income.....it is a tax deduction for the payor and as a payee it must be reported as income and taxes must be paid on it.....

 

[LdiJ]

the "boyfriends child" stays during the week to attend a specific school.....is it ordered somehow the child must remain in a specific school district? i know with my stepdaughter she is in one of the best school districts in her area and in the hick town the judge actually made it part of the order that if for any reason her mom "moves" she has to show the school is better(but that was also b/c fiance had to fight just to get his daughter IN school).....

my question to you is, how does your alimony/cs affect this child and how does it affect yours? also, the irs says in order for alimony to be calculated it has to be documented as alimony, NOT as child support....stepsons mom argues she doesnt owe IRS any money due to alimony she never claimed, even though we furnished an agreement SHE forced him to sign by claiming non support to his military command, and she typed it and it even stated the amount for HER and the amount for STEPSON.....now she's paying for it and doesnt think she should have to but the irs considers alimony an income.....it is a tax deduction for the payor and as a payee it must be reported as income and taxes must be paid on it.....

Its tax fraud to characterize child support as alimony. Yes, alimony is tax deductible to the payer and taxable to the payee, but only if it's legitimately alimony, and not child support disguised as alimony. In this case, its child support disguised as alimony.

 

[MFinancier]

LdiJ wrote:

"To be honest, your current arrangement is tax fraud because its characterizing child support as alimony, which is a huge no-no. Since the IRS announced in December 07 that they have reinstituted random audits, it makes it far more likely that you will get caught."


Quick question LJ (senior members as well)....what do you think about "unallocated support"?... subject to dates clearly contingent with children, and alimony recaputure provisions? Doesn't "unallocated support" by it's nature characterize a portion of child support as alimony. I know they're using it in Illinois...would you advice it's use?

 

[LdiJ]

LdiJ wrote:

"To be honest, your current arrangement is tax fraud because its characterizing child support as alimony, which is a huge no-no. Since the IRS announced in December 07 that they have reinstituted random audits, it makes it far more likely that you will get caught."


Quick question LJ (senior members as well)....what do you think about "unallocated support"?... subject to dates clearly contingent with children, and alimony recaputure provisions? Doesn't "unallocated support" by it's nature characterize a portion of child support as alimony. I know they're using it in Illinois...would you advice it's use?

The IRS would not recognize unallocated support as alimony.

 

[MFinancier]

The IRS would not recognize unallocated support as alimony.

Seriously?....I'm shocked and confused!!! So "unallocated support" is not tax deductible?In other words all those in Illinois are sitting on a potential tax time bomb?

 

[LdiJ]

Seriously?....I'm shocked and confused!!! So "unallocated support" is not tax deductible?In other words all those in Illinois are sitting on a potential tax time bomb?

Yep...go read the rules for the deductibility of alimony in Publication 17. It will be immediately obvious that unallocated support would not be recognized as alimony.

 

[soon2bstep]

ldj-if you read this!

i know it is fraud to disguise cs as alimony....were you referring to our case? because in ours we had to give her $800, divided equally between her and my stepson.....we only claimed the amounts we had given her, and the office that did our taxes, made us show this "agreement" to them, to verify that we had given her the money, and they made us provide our bank statements/cancelled checks as well, as we had half of it going by allotment/bank xfer(for son), and wrote her a check(to show proof for each individual person)...otherwise they would not let us file it...and we had her social because it was in his service record & our personal file, because when she had her "agreement" notarized, they attached a copy of her military ID...

 

[penelope10]

As a person that received temp SS for a couple of years I can tell you what my accountant had me do. File my taxes showing the alimony as alimony. I'm really glad that I did so cause the IRS does look at this.I've also wisely never tried to disguise CS as alimony....(Nor has the ex).

LOL! a couple of years after the EX and I split I got a letter from the IRS on a different matter. The ex and I did not split some of the marital assets $$ until after our divorce. I was the primary on these accounts. Even though it was shown on the form as to the percentage of the split with the ex(his social next to it) I still got a nice little letter from the IRS stating they felt I owed taxes on the whole amount. I was able to call them and provide my Social and his. They looked up our returns on the computer and were able to verify that my taxes had been filed correctly.(And his) It really helped that he and I still used the same accountant so all our ducks were in a row. I received a letter stating my file had been closed. Believe me I'm gonna hold onto that letter...

Anyway the IRS is not a monkey you want on your back.OP if you have questions in regards to how to file CORRECTLY you should seek the advice of a tax PROFESSIONAL. BELIEVE ME it's worth the money.

And I just wanted to point out that just because a State will let you file State taxes in a certain way does not mean that the Fed. is gonna do the same.

As far as the child using your address as his. Not a good idea for a number of reasons. First it's not honest, second who knows whether you and BF will remain together. Not a good idea. Would I be doing this for a child I was simply babysitting. Cause despite the warm fuzzy emotions you and BF AREN'T married.