Claiming child on taxes with arrears

[amberlea434]

What is the name of your state? TN

I have a question that I'm hoping I didn't overlook while searching the site. I've read how a NCP can claim their child (court ordered) on their taxes if they're up on their child support.

My fiance and his ex-gf are in the midst of modifying their current parenting plan and in the new plan, my fiance requested that they alternate years to claim their daughter on their taxes. (Their current plan doesn't state anything about who claims her, the ex just claims her every year because she gets her W-2 first.) The child is 8 years old and they never went to court to establish custody/CS until she was 5. The ex requested back-child support for those 5 years and was granted it. These are now stated as "arrears" in the court order that he's been paying back and has since been on time with his CS since the court order went into effect. (I didn't think that it'd be called "arrears" seeing as there was no court order during those 5 years, I thought it would be called "retroactive support". Am I right?)

So, my question is, will the judge grant him the alternate years of claiming the child even though he's paying on "arrears"? Will that look like he's not up on his CS?

 

[fairisfair]

the retroactive support is not considered by the court when deciding the allowance for deduction. It will however be considered for tax intercept. In other words, it is possible that he may be allowed to claim the child because his current support is up to date, however the tax refund may be intercepted due to the arrears balance.

 

[amberlea434]

the retroactive support is not considered by the court when deciding the allowance for deduction. It will however be considered for tax intercept. In other words, it is possible that he may be allowed to claim the child because his current support is up to date, however the tax refund may be intercepted due to the arrears balance.

Even if none of his tax returns has been intercepted yet? The amount of the arrears was waived by his ex's father (they were minors at the time) to pay only $50/month until paid off. (Not sure if that changes anything...)

 

[ceara19]

Even if none of his tax returns has been intercepted yet? The amount of the arrears was waived by his ex's father (they were minors at the time) to pay only $50/month until paid off. (Not sure if that changes anything...)

A tax return can and usually will be intercepted even if there is a repayment agreement.

Just curious, how old were they when they became parents? If CS wasn't established until the child was 5 and the parents were both still minors themselves, they would have been 11 or 12 when she got pregnant.

 

[amberlea434]

A tax return can and usually will be intercepted even if there is a repayment agreement.

Just curious, how old were they when they became parents? If CS wasn't established until the child was 5 and the parents were both still minors themselves, they would have been 11 or 12 when she got pregnant.

LOL, no they were 15 when they became parents. I'm guessing because she was a minor at the time of the childs birth, her parents were the "legal" guardians of the child? Not sure how all of that works, but mom's father was able to waive the arrears.

I understand that tax returns can still be intercepted, just wondering why his hasn't...?

 

[ceara19]

LOL, no they were 15 when they became parents. I'm guessing because she was a minor at the time of the childs birth, her parents were the "legal" guardians of the child? Not sure how all of that works, but mom's father was able to waive the arrears.

I understand that tax returns can still be intercepted, just wondering why his hasn't...?

The state has to initiate the interception.

 

[amberlea434]

The state has to initiate the interception.

How does that happen? Will a judge decide that in their upcoming hearing? Can the ex request it even though she agreed to have the amount waived in the first place?

(sorry for so many questions, just trying to understand )

 

[fairisfair]

How does that happen? Will a judge decide that in their upcoming hearing? Can the ex request it even though she agreed to have the amount waived in the first place?

(sorry for so many questions, just trying to understand )

HUH? You state that the arrears were waived, and yet you clearly say that he is to pay $50 a month until they are paid off. Which is it?

No a judge does not decide it, it is an administrative process carried out by CSE, although a judge may in fact somehow approve the process, it is not something that will be discussed in the courtroom.

 

[ceara19]

How does that happen? Will a judge decide that in their upcoming hearing? Can the ex request it even though she agreed to have the amount waived in the first place?

(sorry for so many questions, just trying to understand )

Generally, the state child support enforcement office sends the notice to the IRS. It's usually an "automatic" process. The computer "sees" there is a CS balance and spits out a letter to the IRS. He can call the IRS an see if his refund will be intercepted. I don't have the number, but it has been posted here in the past. Hopefully, someone will be able to post the number.

 

[amberlea434]

HUH? You state that the arrears were waived, and yet you clearly say that he is to pay $50 a month until they are paid off. Which is it?

No a judge does not decide it, it is an administrative process carried out by CSE, although a judge may in fact somehow approve the process, it is not something that will be discussed in the courtroom.

No, no...the entire amount of the arrears were waived so that he didn't have to pay the full amount right then and there. Mom's father waived the amount to $50/month. Sorry if I didn't explain.

 

[amberlea434]

Generally, the state child support enforcement office sends the notice to the IRS. It's usually an "automatic" process. The computer "sees" there is a CS balance and spits out a letter to the IRS. He can call the IRS an see if his refund will be intercepted. I don't have the number, but it has been posted here in the past. Hopefully, someone will be able to post the number.

Oh, okay, I understand now. The reason his returns haven't been intercepted is because he doesn't pay his CS through CSE. He hand delivers the checks to her bi-weekly.

 

[LdiJ]

What is the name of your state? TN

I have a question that I'm hoping I didn't overlook while searching the site. I've read how a NCP can claim their child (court ordered) on their taxes if they're up on their child support.

My fiance and his ex-gf are in the midst of modifying their current parenting plan and in the new plan, my fiance requested that they alternate years to claim their daughter on their taxes. (Their current plan doesn't state anything about who claims her, the ex just claims her every year because she gets her W-2 first.) The child is 8 years old and they never went to court to establish custody/CS until she was 5. The ex requested back-child support for those 5 years and was granted it. These are now stated as "arrears" in the court order that he's been paying back and has since been on time with his CS since the court order went into effect. (I didn't think that it'd be called "arrears" seeing as there was no court order during those 5 years, I thought it would be called "retroactive support". Am I right?)

So, my question is, will the judge grant him the alternate years of claiming the child even though he's paying on "arrears"? Will that look like he's not up on his CS?

Ok...first, mom hasn't been claiming the child because she gets her W2s first. She has been claiming the child because she is the only one with the legal right to do so until a court order says differently. Even then, under federal law its mom that gets to claim her, and dad can't claim her unless mom gives dad a signed form 8332 (no matter what a court order says...if mom didn't cooperate the judge would have to sanction her, but the IRS would rule in her favor).

Whether or not his arrearages would impact a judge's decision to grant him the right to claim the child every other year isn't something that we can predict. However, I will tell you that if he has 5 years of arrearages, (even if they are arrearages due to retroactive support) that a tax intercept is going to go into place. Therefore, until that arrearage is paid off, he isn't going to get his tax refunds anyway.

 

[amberlea434]

Thanks for the replies, ya'll have been very helpful.

 

[Gracie3787]

He can call the IRS an see if his refund will be intercepted. I don't have the number, but it has been posted here in the past. Hopefully, someone will be able to post the number.

The number for the Treasury Offset Program is 1-800-304-3107. The NCP can call and follow the prompts to find out if any intercepts have or will be done.