Divorce and Income Taxes when you own a home together

[VickiL]

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

My soon to be ex and I have joint ownership in our house, which I am occupying, but when we sell some day we will split the profit 50/50. I pay the mortgage, property taxes and the house insurance fully by myself. So therefore, I feel I should be able to take the deduction for that on my income taxes. He is telling me since his name is still on the house, he gets half of that,even though he makes zero financial contributions to me or the household. Do I have to give him half of my taxes?

 

[LdiJ]

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

My soon to be ex and I have joint ownership in our house, which I am occupying, but when we sell some day we will split the profit 50/50. I pay the mortgage, property taxes and the house insurance fully by myself. So therefore, I feel I should be able to take the deduction for that on my income taxes. He is telling me since his name is still on the house, he gets half of that,even though he makes zero financial contributions to me or the household. Do I have to give him half of my taxes?

No, you do not. You are paying the mortgage and property taxes, you can fully deduct the mortgage and property taxes. If you are asking if you have to give him half of your actual tax refund, that again is a big NO.

 

[Bali Hai]

No, you do not. You are paying the mortgage and property taxes, you can fully deduct the mortgage and property taxes. If you are asking if you have to give him half of your actual tax refund, that again is a big NO.

Really? Were you the judge that adjudicated this case?

 

[LdiJ]

Really? Were you the judge that adjudicated this case?

They do not appear to have court orders yet, and never once have I ever seen a judge award half of the mortgage interest and property tax deductions to someone who was NOT paying on the mortgage and property taxes.

 

[Bali Hai]

They do not appear to have court orders yet, and never once have I ever seen a judge award half of the mortgage interest and property tax deductions to someone who was NOT paying on the mortgage and property taxes.

Well I have. NY resident.

 

[LdiJ]

Well I have. NY resident.

Oh BS Bali, or at least with details you choose not to share. Heck, even if someone wanted to enter into such a ridiculous agreement it wouldn't even be valid under the tax code. In order to take a mortgage interest and property tax deductions one must be 1) liable for such and 2) have actually paid money towards such.

 

[Bali Hai]

Oh BS Bali, or at least with details you choose not to share. Heck, even if someone wanted to enter into such a ridiculous agreement it wouldn't even be valid under the tax code. In order to take a mortgage interest and property tax deductions one must be 1) liable for such and 2) have actually paid money towards such.

You don't know NY, Cal the same.

 

[stealth2]

You don't know NY, Cal the same.

NY and CA are not the same - or did they become one state while I wasn't looking? Plus, I would be more likely to take the word of a tax professional than a disgruntles alimony payor. Sorry.

 

[davew128]

No, you do not. You are paying the mortgage and property taxes, you can fully deduct the mortgage and property taxes. If you are asking if you have to give him half of your actual tax refund, that again is a big NO.

Your answer is 100% INCORRECT. The OP and her STBX live in California which is a COMMUNITY PROPERTY state. Until such time as they are legally separated, community property rules apply to the home, which is community property. Split 50/50.

 

[Zigner]

Your answer is 100% INCORRECT. The OP and her STBX live in California which is a COMMUNITY PROPERTY state. Until such time as they are legally separated, community property rules apply to the home, which is community property. Split 50/50.

There is NOTHING in this situation that would require the OP to give 50% of her tax refund to the OP. Furthermore, since the ex didn't actually pay any of the interest or property taxes, he's not entitled to write them off.

 

[LdiJ]

Your answer is 100% INCORRECT. The OP and her STBX live in California which is a COMMUNITY PROPERTY state. Until such time as they are legally separated, community property rules apply to the home, which is community property. Split 50/50.

If the divorce is already under way, they are legally separated. However, I disagree with your response in this instance anyway. Unless she is required to file a "married filing separately" return, community property rules would not apply at all.

 

[davew128]

There is NOTHING in this situation that would require the OP to give 50% of her tax refund to the OP.

Never said anything about it whatsoever, not sure why you're addressing my non-comment.

more, since the ex didn't actually pay any of the interest or property taxes, he's not entitled to write them off.

If they aren't legally separated and they file MFS, yes he is. Community property rules.

 

[davew128]

If the divorce is already under way, they are legally separated.

Well..no that's not necessarily true.

However, I disagree with your response in this instance anyway. Unless she is required to file a "married filing separately" return, community property rules would not apply at all.

You disagree often. You're rarely correct. Nobody is "required" to file an MFS return unless their spouse won't file jointly. Since the husband doesn't work, it would seem to be its in both their interests to file jointly. Even if she files MFS, she only reports half her income and half the expenses, and he is SUPPOSED to the same....which is why in community property states, absent separate property agreements, assets, or income, it makes even less sense than in a common law state to do so.

 

[Zigner]

Never said anything about it whatsoever, not sure why you're addressing my non-comment.

Go read again - you said that LdiJ's response was 100% wrong. Her response included a statement saying that the OP does NOT have to pay the stbx 50% of her refund.

 

[LdiJ]

Well..no that's not necessarily true.

You disagree often. You're rarely correct. Nobody is "required" to file an MFS return unless their spouse won't file jointly. Since the husband doesn't work, it would seem to be its in both their interests to file jointly. Even if she files MFS, she only reports half her income and half the expenses, and he is SUPPOSED to the same....which is why in community property states, absent separate property agreements, assets, or income, it makes even less sense than in a common law state to do so.

And what if she qualifies to be treated as unmarried and files head of household? That is what I was referring to by "required to file married filing separate". There is absolutely no reason why you should be so snarky Dave.