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  #1  
Old 03-23-2006, 05:07 PM
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Join Date: Jan 2006
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Question

ex found loop hole


What is the name of your state? Indiana
My ex-husband has unfortunately found a way to beat the system and it seems perfectly legal on his end. My ex owes arrears in child support and to avoid paying me that, he decided to claim "exempt" on his W-4 in order to not have any witholding to intercept. He held back the money, since he didn't pay taxes, and now he will be able to pay the IRS and fullfill his obligation with them with no hesitation. Unfortunately, I get nothing. I have to admit, who ever gave him the idea, was pretty genius. He could have never thought of it on his own. However, is there anything I can do? I have filed a fraud report with the IRS against him and the prosecutor knows about it. He has always had a refund for at least the last 17 years that I have known him. I know this was out of trying to cheat me out of it. He had no intentions of paying me that arrears. He definitely did this out of fraudulent reasons. Can anyone help? Please!!!! Thank you in advance to anyone that can give me some options.
  #2  
Old 03-23-2006, 05:57 PM
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Join Date: May 2004
Posts: 41,305
Quote:
Originally Posted by ptrc
What is the name of your state? Indiana
My ex-husband has unfortunately found a way to beat the system and it seems perfectly legal on his end. My ex owes arrears in child support and to avoid paying me that, he decided to claim "exempt" on his W-4 in order to not have any witholding to intercept. He held back the money, since he didn't pay taxes, and now he will be able to pay the IRS and fullfill his obligation with them with no hesitation. Unfortunately, I get nothing. I have to admit, who ever gave him the idea, was pretty genius. He could have never thought of it on his own. However, is there anything I can do? I have filed a fraud report with the IRS against him and the prosecutor knows about it. He has always had a refund for at least the last 17 years that I have known him. I know this was out of trying to cheat me out of it. He had no intentions of paying me that arrears. He definitely did this out of fraudulent reasons. Can anyone help? Please!!!! Thank you in advance to anyone that can give me some options.
Well....its illegal to claim "exempt" on your W4 unless you are validly exempt. So even if he pays his taxes in full, eventually the IRS is going to come down on him for doing that. In addition, he is paying penalties for under withholding.

However, he could have easily accomplished the same thing by simply adjusting his withholding so that he owed a small amount at year end....rather than not having anything taken out at all.
  #3  
Old 03-23-2006, 06:02 PM
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Join Date: Jan 2006
Posts: 9,771
Quote:
Originally Posted by ptrc
What is the name of your state? Indiana
My ex-husband has unfortunately found a way to beat the system and it seems perfectly legal on his end. My ex owes arrears in child support and to avoid paying me that, he decided to claim "exempt" on his W-4 in order to not have any witholding to intercept. He held back the money, since he didn't pay taxes, and now he will be able to pay the IRS and fullfill his obligation with them with no hesitation. Unfortunately, I get nothing. I have to admit, who ever gave him the idea, was pretty genius. He could have never thought of it on his own. However, is there anything I can do? I have filed a fraud report with the IRS against him and the prosecutor knows about it. He has always had a refund for at least the last 17 years that I have known him. I know this was out of trying to cheat me out of it. He had no intentions of paying me that arrears. He definitely did this out of fraudulent reasons. Can anyone help? Please!!!! Thank you in advance to anyone that can give me some options.
I know it isn't any consolation, but he isn't that smart and neither are his friends. This is an old deadbeat scam. You can hope he can't pay the taxes he owes at the end of the year then IRS will join the hunt.
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