Divorce and 1st time home Buyers credit

[holleyfrog]

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

In 2008 the ex and myself received the 1st time home buyers credit. It was the one that had to b paid back over so many years. In 2009 we divorced and I signed all interest away in the house, all he had to do was pay to remove my name from the deed. I began receiving letters in 2010 that we were never qualified for the credit and it was all to b paid back asap. The IRS ended up keeping my return of $4700 and his of $650. There was still some owed and I spoke with EVERY1 at the IRS including the legal dept and they said that because we were never qualified to receive it then I couldnt file for the innocent spouse deal they got. I had already filed an ammendment for 2008 and ended up getting another small return of $250 which was also applied to the debt owed, clearing all debt with the IRS.

Am I entitled to my money back from him?
What are the chances of me winning if I sued him?

 

[OHRoadwarrior]

Your Mileage May Vary. Try small claims court. It has a $3000 limit. You might be able to get it mediated by the court instead.

http://eforms.alacourt.gov/disLogonGrid.aspx?key=8-0-0

 

[holleyfrog]

Is the cap on that $5k

 

[LdiJ]

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

In 2008 the ex and myself received the 1st time home buyers credit. It was the one that had to b paid back over so many years. In 2009 we divorced and I signed all interest away in the house, all he had to do was pay to remove my name from the deed. I began receiving letters in 2010 that we were never qualified for the credit and it was all to b paid back asap. The IRS ended up keeping my return of $4700 and his of $650. There was still some owed and I spoke with EVERY1 at the IRS including the legal dept and they said that because we were never qualified to receive it then I couldnt file for the innocent spouse deal they got. I had already filed an ammendment for 2008 and ended up getting another small return of $250 which was also applied to the debt owed, clearing all debt with the IRS.

Am I entitled to my money back from him?
What are the chances of me winning if I sued him?

I think that before you sue him you need to clarify WHY you were not eligible for the credit, and how you and he spent the money.

 

[holleyfrog]

I think that before you sue him you need to clarify WHY you were not eligible for the credit, and how you and he spent the money.

we closed on the house before the credit was active - I think the tax preparer shoulda known this, that is y I paid her to do it, so I didn't jack them up.

I believe total that year we got back $8700. He took the $8000 and paid off his credit card

 

[mistoffolees]

we closed on the house before the credit was active - I think the tax preparer shoulda known this, that is y I paid her to do it, so I didn't jack them up.

I believe total that year we got back $8700. He took the $8000 and paid off his credit card

Was the credit card marital? That is, were the charges from the time when you were married?

 

[LdiJ]

Was the credit card marital? That is, were the charges from the time when you were married?

You are going the same direction I was.

 

[holleyfrog]

Was the credit card marital? That is, were the charges from the time when you were married?

He got the card while we were married and bought a truck and restored it. It was HIS debt on HIS card

 

[ecmst12]

If the debt was incurred during the marriage, then it was marital, regardless of whose name was on the card. There are a few exceptions, but I don't believe this situation fits any of them. He used marital funds to pay off a marital debt, which is perfectly ok. And you will not be relieved of the tax debt because you claim you didn't know.

 

[LdiJ]

He got the card while we were married and bought a truck and restored it. It was HIS debt on HIS card

Actually, that made the truck a marital asset and the credit card debt a marital debt. I assume that he kept the truck? Or did he sell it? If it was sold, what did you guys do with the money?

At this point it sure looks like he is responsible for at least 1/2 of the repayment, and if he kept the truck, then maybe all of it if you were not credited with 1/2 of that truck's value in the property settlement.

I would go after him for at least 1/2 of the money.