Tacky question about taxes

[thesmithfamily_5]

I was just wondering who we should inform of the fraud when BM claims that SSx2 lived with her most of last year....

I've looked at the laws, it clearly says that they have to live with you for more than 6 months before you can claim them on your taxes, otherwise the person who had them for that time claims them.

SS(6) and SS(9) lived with BM's parents from March to December... but who's gonna get that fat earned income credit in April???

It feels sorta tacky to ask, but that's the whole reason we're filing for custody of them, that she didn't have them. And we'd like to prove our point!

[Brent]

From: http://www.irs.gov/compliance/enforcement/article/0,,id=106778,00.html

How Do You Report Suspected Tax Fraud Activity?
 
If you suspect or know of an individual or company that is not complying with the tax laws, you may report this activity by completing Form 3949-A. You may fill out Form 3949-A online, print it and mail it to:                

        Internal Revenue Service
        Fresno, CA  93888

If you do not wish to use Form 3949-A, you may send a letter to the address above.  Please include the following information, if available:

    *
      Name and address of the person you are reporting
    *
      The taxpayer identification number (social security number for an individual or employer identification number for a business)
    *
      A brief description of the alleged violation, including how you became aware of  or obtained the information
    *
      The years involved
    *
      The estimated dollar amount of any unreported income
    *
      Your name, address and daytime telephone number

Although you are not required to identify yourself, it is helpful to do so. Your identity can be kept confidential. You may also be entitled to a reward.

Frequently Asked Questions - 1.13 IRS Procedures: Reporting Fraud

[thesmithfamily_5]

 would the judge look down on us for turning her in or would he pat us on the back for being aware of the law? Would it look vindictive? are we looking at being audited becuase of it, because even if we didn't put our name on the form she'll probably know it was us who turned her in and I know from past experience that she will be vindictive.

I'm really torn about doing this. I want to becuase it's right, she should be punished if she's breaking the law. But it's the IRS!

[Brent]

> would the judge look down on us for turning her in or would
>he pat us on the back for being aware of the law?

I'd report them anonymously, but that's just me. It would avoid a lot of complications.



> Would it look vindictive?

It might, which is why I'd report them anonymously.

[Raisin_3]

BM in our case claimed it on her d (with a different father) one year and then claimed it on my then ds (was my step son then) and we claimed it and she had gotten caught the year before when her other ex claimed it and the IRS went after her for that money.  Had she tried it again I would have reported her, especially b/c in writing she asked us to fraud the IRS and let her have the EIC and she would let us have her deduction every other year.  We told her NO WAY.  Luckily it caught up with her anyway.  If you can claim the EIC so she gets caught then you can turn her in but just know the IRS is going to go by what your court papers say the custody arrangement is unless you can provide other proof- so even reporting her may do no good if the CO states she is CP and the child resides with her.

[zutalurs]

Can the EIC be taken by one parent and the deduction by another?
We have it in the CO that I have a "buy out" option each year fr the deduction.  If I choose to, I can pay her how much she would get from the deduction and then use it myself.  I'm just wondering if I also have to buy out the EIC.  I won't qualify for that mysel, but BM would.

[Raisin_3]

Legally.  In order to claim the EIC the child has to live with you at least 6 months out of the year.  Even if the CO states you can claim the child- that is only for the exemption.

So when we went to court and she asked for every other year we agreed knowing we would get the EIC.  She didn't know that so she thought she was getting a great deal and then got caught 2 years in a row.  It also caused a major pain for us b/c it flagged both parents taxes and then we had to prove he lived with us but they also made us prove our d lived w/ us (WE WERE MARRIED) so we had to get sworn statements from our neighbors.  It was a huge mess but we ended up with it since he lived with us.

[Kboeds]

What if you don't have proof? How can you get it?

DH ask Ex if she would sign the form to allow him to claim the kids because she does not work. She is not married so there is no taxable income in her home. Therefore she can not file taxes.

DH said since she doesn't file taxes, then he wanted to know if she would allow him to claim his then 4 mior children and he would split the refund with her. EX said NO!

Ex then told Dh that she already had something figured out.

Well the way we see it, there are 8 children living in her home, now 3 minor children of DH's and no-one has been able to claim any of them since they were divorced in 1999 because she has no income and she will not sign the form for DH to claim them.

When the oldest son turned 16 she immediately made him go to work and start giving her money. I have no proof but I firmly believe that she had oldest SS claim her and all the kids on his taxes. (That is what she figured out)

Oldest SS is now 21 and has moved out last year. However, her adopted son (after the divorce) has now turned 16 and is working. I think she will have him claim her and the kids now.

??? How can we find out is DH's kids are being claimed on anyone's taxes?

?? would they tell us who is claiming them?

?? would the IRS question a 16 to 20 year old claiming a family of 8 to 10 dependants?


Thanks

KB

[gipsy]

Yes we do these things like turn each other in etc, However In my case my stunts were reactive , and the judge saw this and commented upon Her observation at trial
  Judge 'Said'    " I think  what Mr XXx did was a reaction " And will not be giving Mom any atty fee's " And if this comes back to me we will see whom get's atty' fee's "
    So that was that "
   BUT .  before trial When some of My reaction's unfolded ' And I had to talk to my atty about what I did ' My atty 'said'  What good will this do you '?
  And "they may say You are doing this out of spite " And "you have an Issue with Mom "
   The rest of My  conversations with  My atty and the trial were about what My legal argument was to gain custody, And proveing that I am  a good parent !
   So I suggest that you do what my Atty told Me to do ,, At the end of the rainbow I see what he said as the best option ,
   He said spend more  time making your self appear to be the better parent   , Then you spend trying to make the other parent look bad :
   I see this better because """ SOME """ things I involved my self in that  were not good , Were used against me ,
    SOOOO remmember this , the judge will be there to decide  on the legal reasons for him to do what you ask Him to do ,
    I will wager that the tax issue won't  be a reason for change of custody , So pick your fights !
    My guess will be that you should ask your atty or Socrateaser , It would have been wise of me to listen to my atty's advise ,
   My back door trick would be too see of you could get the parent's to let you have the kids , and try to keep them for the minimum time to ask for change of custody or  parent abandonement by the mother , And I would not turn her in for the tax issue but would also  be so nice and let her think that you just look at this so graciusly to have the kids that you will even give her the support payment , And smoozle smoozle , then try for the law that has to do with the minimum time they need to live with you !
  My opinion is it's better to think of a trick that is so smooth she doesn't see it untill it's too late ,
   If you turn her in or argue about support  you set off the Battle alert
   I would ask an atty before you do any thing period . this is just my thoughts after being through it !