child support and tax deductions

[chuck99803]

What is the name of your state? Alaska
My ex is taking me back to court for a modification of c/s. She and my kids live in Illinois. I am in the CG and will be transferring in the spring. I had my legal dept
draft a letter saying I would voluntarily raise the c/s and she could claim one of the kids on her taxes until I get transferred, She refused. As long as my c/s is up to date I am able to claim both my kids for tax purposes. She is now going to get a lawyer and try to get the tax deductions. I don't get to see my kids very often because I live so far away and the ex will not help with plane tickets. I use the money from taxes to buy the plane tickets.
By the way none of this started until she found out my wife of 5 yrs is pregnant!! Can anyone help????

 

[hound dog]

Well let her go get a lawyer.If your child support is high and you contribute more than she does then you will be allowed to claim them. So I would fight her in court. If she does not want to mediate which it sounds that way to me maybe it is about the new wife and baby.

 

[chuck99803]

Hound dog,
Thanks for the reply, We have bent over backwards to try and work with her for my kids sake, and she doesn't want any part of it. She now has, in her words, a very good paying job. Thanks again.

 

[hound dog]

Well good b.c that will work in your favor. Just document everything ! If she refuses visitations or anything make sure you write that down. I hope things work out for ya.

 

[haiku]

a lot of states will give the NCP deductions as long as they are current with support, as an incentive to continue to pay support.

If your ex makes under 15,000 a year, the deductions are useless to her and should be given to you anyway until such time when she does make that amount of money.

Common scenario is what you offered, you each have a child, OR you alternate both children every year(1 year you get them next year she gets them)

 

[njmom]

opinion here.......

I always thought that if both parents were entititled to claim the children, meaning both had 50/50 shared parenting time, that the parent who made the most money gets to claim them whether it be NCP or CP. I am under the impression that the parent the child resides with for more that 6 months gets the credit.

Well, at least thats how it goes here in NJ. My ex makes a heck of a lot more than me, but I let him claim our son because if not he gets hit with a huge tax payment. I just made him aware that when I finish school and I am making decent money that we will have to take our son every other year. If however, he were to have him 50 percent of the time, and providing for him and has a court order to back him up, he would definately be able to claim him, since he does make way more than me. Again, this is just my opinion, maybe you can check on the IRS website for your state. Good Luck!

 

[craftymom]

I had my legal dept
draft a letter saying I would voluntarily raise the c/s and she could claim one of the kids on her taxes until I get transferred, She refused. As long as my c/s is up to date I am able to claim both my kids for tax purposes. She is now going to get a lawyer and try to get the tax deductions. I don't get to see my kids very often because I live so far away and the ex will not help with plane tickets. I use the money from taxes to buy the plane tickets.

I just love these women that refuse voluntary offers that are of benefit to them and their children

I hope you kept a copy of that letter that you had your legal department write up for you. It should help to show that you have tried to compromise with her willingly, and without provocation.

As for raising the c/s, if your case goes through CSE, why not contact them and ask them to review the amount that you pay and adjust it accordingly?

As for the tax exemptions, let her hire the lawyer. You've already tried to be reasonable.

 

[VeronicaGia]

Start here:

http://www.irs.gov/forms_pubs/formpub.html

Go to Publication 501 and read it thoroughly, especially starting with page 11 "support test"

You must have adobe (.pdf) to read the file. If you don't you can contact the IRS and ask them to send it to you, or you may be able to find it at the local library.

 

[Lil Miss Smarty Panties]

a lot of states will give the NCP deductions as long as they are current with support, as an incentive to continue to pay support.

If your ex makes under 15,000 a year, the deductions are useless to her and should be given to you anyway until such time when she does make that amount of money.

Common scenario is what you offered, you each have a child, OR you alternate both children every year(1 year you get them next year she gets them)

What does it mean when you say if she makes under $15,000 a yr the deductions are useless to her? Wouldn't they get the earned income credit? (I think thats what it's called) How are the deductions useless if you make under $15,000?
TIA

 

[Lil Miss Smarty Panties]

I had to go dig up this thread

Does anyone know the answer to my last question? Hubby could use this info in court proceedings next month.

 

[Whyte Noise]

*raises hand*

Oooooooooh! Ohhhhhhhhh! Ohhhhhh! I know! I know!

SP, you can't claim the child for EIC unless they LIVED with you for at least 6 months out of the year.

Take my case for example. We have 3 children. They all live with ex husband. In our divorce settlement, we agreed that he would claim 2 of our children every year, I will claim one. I use this as a deduction on page 1. Single, 2 dependents. (My daughter and myself.) You have a standard deduction of X amount for your filing status, then you also have deductions for the number of dependents. What these deduction amounts do is "offset" any taxes you pay for your income amount. Say.... I make.... $10,000. The standard deduction for someone filing single is $4,550. Deduct that from my income, and my taxable income is $5,450. Then, for dependents the deductions are $2,800 a piece, which is $5,600 (my daughter and myself). You take that from the $5,450, and that is ZERO, because the deductions are more than the taxable income that was left. So, my taxable income is $0, and my tax would also be $0. Being able to claim my daughter on taxes helps lower my taxable income because of the deduction.

However, I CAN NOT claim EIC credit because in order to do that the child must live with you for at least 6 months out of the year. Info about EIC eligibility from the IRS website:

"Basically, a qualifying child is a child who:

Is your son, daughter, adopted child, grandchild, great-grandchild, stepchild, or eligible foster child, and;
Was (at the end of the tax year) under age 19 or under age 24 and a full-time student, or; permanently and totally disabled at any age during the year; and
Lived with you in the United States for more than half of the tax year (all of the tax year if the child is your eligible foster child)"

So, I can claim her as a deduction to help lower my taxable income, but not to get EIC because she doesn't LIVE with me for over half the year.

 

[Lil Miss Smarty Panties]

see what I don't understand is how the deduction is useless to someone making under $15,000 and who is the cp. They could claim the earned income credit.

hubby makes well over $15k a year. PB makes well under. He pay's almost half of her weekly income in support weekly. She doesn't want him to claim sd on taxes. He wants the deduction. We noticed on her w2's she has 3 dependents. I have no idea who the 3rd one could possibly be because it's just her and sd living there. Probably another fraud thing would be my guess. So do you think they'd give him the deduction?

 

[roamer5]

Let's see if I can add to the confusion.

The NCP is only allowed to claim the dependent (exemption) if the CP signs one of the following:

1. Form 8332 which releases the exemption to the NCP

OR

2. The divorce decree which gives the exemption to the NCP without regard to any conditions.

 

[Lil Miss Smarty Panties]

1.) she will never sign anything to give him the deduction.
2.) they were never married so there is no divorce decree to line that out.

I have read something on the IRS website about unwed dad's claiming their out of wedlock children if they provide more than 50% of their up-keep and without any consent from the mother. It was advised that they file as soon as possible to get their return in first. But since this is in court now he's trying to get it all done that way and hopefully the judge will give him the deduction.

Thats why I was trying to find out what haiku meant when she said if they made under 15k a yr the deduction was useless to them anyway.

 

[roamer5]

Do you remember where on the IRS website it discusses unwed parents? According to Pub 504, the CP (her) is entitled to the deduction.

Even if he files first, all she would need to do is attach documentation such as school or medical records proving she's the CP. The IRS would then deny him the exemption and he would probably owe them.

Not sure exactly what he needs to claim the exemption and have it stick regardless of what she files.

I too, do not understand this $15,000 scenario.