non-filer, statute of limitations?

[madamx]

What is the name of your state (only U.S. law)? NJ

I have a soon to be ex-husband who has not filed tax returns (federal or state) in over 20 years. He used to work as an IT contractor and all his income was 1099. He worked for major pharmaceutical and banking companies. He did not pay his social security taxes either. He now believes that since he has not worked in the past six years he is no longer responsible for paying his federal taxes due to the 6 year statute of limitations. Is that true?

What about his filing obligations for the states of NY and NJ? Do they have statute of limitations for filing?

Assuming he's incorrect, what types of penalties might he receive if the taxing authorities catch up to him? Unfortunately, I'm obliged to pay maintenance to him (and he, child support to me) - to keep him honest he must provide me with his tax returns annually. Will his filing after so many years of not filing increase his chances of being audited?

Incidentally, I used a tax professional and always filed separately from him during the years he was employed (and paid heaps more in taxes myself,) so I don't believe I have any liabilities here.

 

[LdiJ]

What is the name of your state (only U.S. law)? NJ

I have a soon to be ex-husband who has not filed tax returns (federal or state) in over 20 years. He used to work as an IT contractor and all his income was 1099. He worked for major pharmaceutical and banking companies. He did not pay his social security taxes either. He now believes that since he has not worked in the past six years he is no longer responsible for paying his federal taxes due to the 6 year statute of limitations. Is that true?

What about his filing obligations for the states of NY and NJ? Do they have statute of limitations for filing?

Assuming he's incorrect, what types of penalties might he receive if the taxing authorities catch up to him? Unfortunately, I'm obliged to pay maintenance to him (and he, child support to me) - to keep him honest he must provide me with his tax returns annually. Will his filing after so many years of not filing increase his chances of being audited?

Incidentally, I used a tax professional and always filed separately from him during the years he was employed (and paid heaps more in taxes myself,) so I don't believe I have any liabilities here.

You are correct that you have no liability for his unpaid taxes.

However he really ought to get a consult with a local tax attorney regarding the unfiled and unpaid taxes.

 

[TinkerBelleLuvr]

Statute of Limitation on tax returns STARTS when a return is filed. In his case, the clock hasn't started ticking yet.

 

[madamx]

Thanks for the timely replies.

Unfortunately, stbx is very arrogant, and fancies himself a "Catch Me If You Can" type (wait a sec... that guy got caught, didn't he? LOL!) I highly doubt he will proactively seek out the advice of a tax attorney. He will go on the assumption that they will never catch him, and if they do he's already told me he'll claim he's emotionally unstable / depressed / etc... mental health issues - and therefore was incapable of controlling his own actions. But then, he's also saved up old calandars over the years so that if that doesn't work, he's told me he can make up stuff on the calendars to substantiate his consulting business expenses in an attempt to reduce his income.

The guy really is a nut.

 

[TinkerBelleLuvr]

Remember Karma ... if he doesn't file taxes and pay INTO Social Security, he won't be eligible for any benefits when he retires. Or at least wants to retire.

 

[madamx]

Thanks Ginny - I heard that before. He actually did pay in up until the year before we were married (I only discovered his non-payment of SS when they sent his statement to the house this year.) But at that time he was only reporting $36k per year (altho making much more as a consultant.)

He has cheated on his taxes for most of his working life. I found out about it only after we married and he refused to file with me. By then I had a child by him and another on the way.

Would I have a leg to stand on if, after the divorce, I wanted to sue him on civil grounds for all of the excess taxes I had to pay as married filing separate? I realized there's a statute of limitations on civil cases (even if this concept is possible) but between 1992 and 2002 I paid over $100k in additional taxes because of his shenanigans.