I just got audited and I’m feeling frustrated. It’s been over four years since my divorce, and my ex has been living with me as a guest in my leased townhouse. I’ve been the one paying all the utilities, insurance, and covering all expenses related to our kids’ childcare and education. Now, the IRS has decided that because he hasn’t officially moved out, I can’t claim head of household status and am considered single instead.
This makes no sense! I hold the lease, I pay all the bills, yet I’m being hit with a $7,000 charge simply because he hasn’t moved out before December 31st. He hasn’t even contributed anything toward utilities… not even for water! Do I really need to gather receipts for everything—my rent, all the utilities, and every school and medical expense—to prove that I’ve taken care of everything for our kids, aside from the minimal child support he provides? This feels so unfair!
One response
It sounds like you’re going through a really difficult situation, and it’s understandable that you’re feeling frustrated. To address your concerns about the IRS classification and the Audit, here are some steps you might consider:
Documentation: Yes, absolutely gather all relevant documentation. This includes your lease, utility bills, receipts for child care, school expenses, and any medical or dental insurance payments you made. This evidence will be crucial in demonstrating that you are the one providing for your children.
IRS Guidelines: Familiarize yourself with the IRS criteria for claiming head of household status. The IRS has specific rules regarding the terms of residency and support that must be met.
Consult a Tax Professional: Given the complexity of your situation, it might be wise to consult a tax professional or CPA who can provide you with guidance tailored to your specific circumstances. They can help you navigate the Audit process and possibly appeal the IRS findings if they are not in your favor.
Communication with the IRS: If you have not already, make sure to communicate with the IRS regarding the situation. Provide them with all necessary documentation to support your claim of head of household status. Sometimes, clarifying your living situation and support responsibilities can help.
Consider Legal Advice: Since this situation involves divorce and custody as well as tax matters, seeking legal advice may also be beneficial. An attorney familiar with family law and tax issues can help you navigate the implications of your situation.
It’s essential to take action quickly, as audits have time frames and deadlines. Don’t hesitate to seek help to ensure you’re presenting the strongest case possible. Stay organized and keep track of all correspondence with the IRS. Good luck, and I hope you get a resolution that reflects your contributions and responsibilities accurately.