Wednesday, November 23, 2011

Would i be better off to file an injured spouse or file seperate from my husband?

we have 2 kids, he owes the state $3000. i was tol i would be penalized and not receive my child tax credits.Would i be better off to file an injured spouse or file seperate from my husband?
If you file joint return, you will still get earned income credit and child tax credit. However, your refund will be offset against state dues.





If you file separate return, you will not get earned income credit anyway, which can be around $4000. So it may be still better to file joint return. And the dues get paid.





You can file Form 8379 (Injured Spouse) with your joint tax return. The IRS will allocate the refund between you and your spouse. But by filing Form 8379, your refund will be delayed by about 2 months. //np You can file as married filing jointly (MFJ) or married filing separately. In most cases, it is better to file as MFJ. Read http://taxipay.blogspot.com/2008/02/fili鈥?/a>Would i be better off to file an injured spouse or file seperate from my husband?
When you file the injured spouse form the IRS will determine, based on your income and the children you claim, how much of the refund you will qualify for. The remainder will go towards his debt.





Injured spouse would be the best way to file if you want to be able to receive a portion of your refund. Keep in mind when you file this form you do not receive your refund immediately. The IRS reviews the information and then decides what your portion of the refund will be. This process could take many weeks.





Good Luck,





Laura H 鈥?H%26amp;R Block 鈥?Senior Tax Advisor 5


**This advice was prepared based on our understanding of the tax law in effect at the time it was written as it applies to the facts that you provided.
If his debts are from BEFORE you married, then an injured spouse form will protect your share of the refund. If he incurred this debt after you were married, it won't protect you.





Married filing separate is usually much more expensive. The tax rates are higher than for married filing jointly, and there are several credits that are not available to people who file married filing separately: the earned income credit, education credits, child and dependent care credit.
yes i agree. file an injured spouse claim. once you have a claim open they feeze your account and can not hold your refunds. even if they deny it(they will) keep appealing and finally they will let it go instead of taking it to tax court
file an injured spouse form and you will get your tax credits if you file separately you wont get squat

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