My husband and his Ex-wife’s divorce agreement say that he can claim the kids on his taxes every 3rd year…2022 will be when he can claim his two kids for the 1st time in 3 years…How is that going to affect his child tax credit on his taxes if she’s going to get the monthly payments of child tax credit starting July 15 till December of this year…Will he get the full amount since he’s not getting any payments these next few months, or will there be some kind of conflict, and will she have to pay back since he can file in 2022.
It’s a tax credit for next year. Will effect her return not your husbands. She could opt out so she doesn’t have to pay back next year.
My question is who has custody where are the children living, is he paying child support? If children living with mom and he is paying support he is claiming those support payments on his taxes anyway. If children will be living with him then he is entitled to the child tax credit. Whoever designed this agreement needvto be slapped, children are more then a tax deduction. She needs to explain the custody arrangements better.
Help a mama out and respond anonymously on our forum. What will happen with my husbands child tax credit?
The returns will either get flagged and delayed. Or, she’ll end up having to pay back what she gets monthly and your husband will get the full amount.
If she doesn’t opt out of the payments she will have to pay it back because he is claiming the kids for 2022 and it’s and advance on your taxes.
She can opt out of the monthly payments and the husband can claim it all next tax year.
One will have to opt out and then who ever is supposed to claim them next year will have to go on the website and add them as their dependents and neither will have to repay. If she receives payments throughout the year and then he claims then she’ll owe all of that back.
I think the last one since the IRS goes by previous returns but it will be settled the right way in tax time
Everything i have read says that the parent who isnt able to claim them for 2022, should opt out now because they will not be getting the credit come tax time and will then lose that credit and possibly end up owing. Your husband should get the full credit come tax time.
He will get about the same back. The child tax credit was upped a bit to accommodate for the extra monthly money.
She should be adult and opt out so he gets it when he does taxes…
He will get the full amount and she will have to pay it back… it you get the credit now and the child is NOT on your return, you will have to pay it back.
If momma gets the child tax credit into her bank account she will have to either give it to the father or pay the IRS back. Mother can opt out of receiving these payments so there is no issues come tax time
She will need to opt out of the payments if she doesn’t want it to affect her taxes next year. The child tax payments are a advance on next years taxes. he will get the full amount when he files next tax season.
If I’m reading your question correctly it will be the same as always. Only the tax deadline was extended . The taxes and credits are still for calendar year Jan - Dec
If she (ex wife) claims ALL the money,like I did already ( I already got ALL the child tax credit). He will get flagged for trying to file again. I would tell him to ask her is she got all the $ from July 15th on … IF she did claim ALL that $ already, I would tell him, to tell her she needs to pay him that balance from July-ON. Or he will file a fraud on her for claiming that $. It will probably be a big MESS until sorted out. But the best bet is to ask if she claimed that $ already and let he know it’s his time to claim them (July+) and she need to pay him for those months. If she hasn’t he can simply file taxes as normal and tell the tax man to add the child tax credit just for said year.
she should opt out of the payment since they will be an advance, if she takes the monthly payment she will have to pay if back or it will be taken from her refund, he will claim the full amount in the spring when we files taxes.
I would talk to the irs
He won’t be able to claim to them she will have to. Cause if he claims it will cause her to have to pay back all the money she got for them
Whoever gets the child tax credit but does not claim the child on taxes next year will have to pay that money back
The child tax credit is extra for last years taxes. So he will be filing for this year so he won’t get it.
Ultimately talk to the IRS, however she should have opted out of receiving the payments so that the full amount would go to the next year’s tax return, so then when he files next year he would get the whole thing. If she hasn’t opted out she will have to repay the amount she gets and he should in theory receive the rest. She could always give him each monthly payment as it comes in, or they can do what people I know are doing which is splitting it and one is getting the first half the other is getting the second. But I know not everyone works like that. Hope that helps!
The portal for the credit on the IRS website has a section dedicated to this…
He will still get it. The mom needs to go on the IRS website and opt out of the payments since it’s not her year to receive the credit. Depending on where her total yearly income lands she may have to pay it back if she does not do opt out.
To clarify. He gets to claim them for tax year 2021, filing it next year. The easiest way to handle it is that she goes onto the irs website to opt out of the monthly payments. She got a letter in the mail telling them how to do this. This would make it so there is zero issue with 2021 taxes when filed next year. If not she will have to pay it back.
That would be something you have to ask your tax agent about.
Just dealt with this. She will get the child tax credit regardless. It is different than claiming someone as a dependent.
She will get the 6 months in payments but your husband will get his 1/2 when he files and he will then receive the monthly checks for the 2022 year and he will have to pay her back her 1/2 for 2022
The ex wife needs to opt out of the monthly payments to avoid having to pay back the taxes. Your husband should get the full amount when filing.
He won’t ger the monthly payments. She will, but when he claims the child next year he will ger the credit back. She will have to pay it back, and it will probably hold the tax return up.
She can opt out of it
Isn’t the advanced tax credit technically for 2021 taxes? … And either way he could have opted out of the payments so he’d get the normal amount
It won’t affect him when he files since it is his year to claim them. If she claims them and receives the advanced payments and she doesn’t claim them when she files, she will have that amount she received deducted from her tax return as she received it and should not have.
They are basing the payments off of previous returns but they will be applied to 2022 tax returns. SOOOOO she’ll be getting the monthly payments but will owe them back. And he could potentially get it all when he files with some correspondence to resolve the issue. Unless she voluntarily opts out of the monthly payments.
The way I understand it is, the payments that are starting in July are what they took it up to for this year (so for the taxes she already received) starting in January she would need to not take any monthly payments as thats what he would get
It will be a problem. Yes, it will lower the credit if she gets the monthly payments. It’s an advance on next year’s child credit. If she does not need the payments, she can opt out of erecieving them. As far as if she doesn’t and it’s his turn to claim them, I do not know how you need to go about that. But you will probably need to get attorneys involved if they aren’t able to communicate and resolve it amicably
She will need to go opt out in the irs. Website! If she accepts it im sure that could be considered tax fraud cause I’m sure she knows the custody/financial arrangement
He should be fine. If she doesn’t opt out, she will likely owe or not get a return
Technically he won’t get anything for them till the year after he files taxes. If she filed this year she gets the return (or payments) next year. If she filed last year she gets the returns (or payments) this year. If he files in 2022 then he gets the return (or payments) in 2023. Make sense?
It all depends on how he’s allowed to file with them. My ex can’t get the tax credit because he has no visitation but gets to use as a dependent. So on his years I still get the tax credit
Yeah, the child tax credit is only affecting 2021 not 2022. When you file 2022 taxes will be in 2023
She can opt out of the payments using the IRS website… If she knows it’s not her year to claim the she should probably do the right thing and opt out
My ex husband and I had the same agreement. But when it was my year to claim the irs said since he claimed the last year then he gets them permanently. So I lost out on 9 years of tax credits and had my kids full time. He paid 0 in child support, then when the kids were older they went and lived with him. Bec careful of exchanging that every year. I know I got screwed.
Help a mama out and respond anonymously on our forum. What will happen with my husbands child tax credit?
No she will get it from my understanding
To get an accurate answer i would ask a tax person. Call up a tax office and talk to someone there.
Ummm it’s your husband’s business & he should check out the irs website
If she doesn’t opt out she will end up owing next year since he is claiming the kids and it’s an advance on your credits
You will need to opt out of payments so you don’t owe come January.
To my knowledge, whoever claims the kids on taxes will receive the family allowance and ucctb or whatever it is for that year.
This article has your answer. If she was smart she would’ve opted out because she will have to pay any payments received back when she files.
If she takes the money that’s coming July 15, that is the child tax credit for next year. So no he will not get the child tax credit, he will owe.
We do on and off years with my bonus daughters mom since we do 50/50. He claimed her this year and she does next year. Since it is for the 2022 tax season we have declined to get the payments as it is not for his year of claiming her.
The child tax credit is for 2021 no impact on 2022 with what the current information is
I think she will have to opt out or he may not get the full amount .
Whoever claimed the children last would get the credit. The best option is to opt out of the payments and wait until you file takes to get the credit
Can someone clarify… these monthly payments are instead of the credit normally received when taxes are filed?
She will have to claim them next year as well they have stopped the loop hole for both parents claiming them alternate years with this new tax credit.
He can’t claim they live with him, only that he supports them.
She’ll have to pay it back, she should opt put of the payments per the agreement.
His best bet is to find out if she already claimed this$$ as I have and many parents I know have. If she has,she is going to have to pay him this $. Or he can put a fraud on her for claiming IT. It will be a big mess until sorted out. Because When he goes to file taxes claiming this credit he will get flagged. Hopefully she has NOT already claimed it and as other people said she has to opt out for the child tax credit. And he can file taxes as normal and ask his tax professional to add the child tax credit for him for said year.
My son’s dad will claim him taxes because we do every other year. I opted out of the payments that way he will get his full amount come tax time. I didnt want anything to get messed up and me ending up having to pay back money.
She’s gonna owe a lot of money when she files .
Any body thay works should opt out this only benefits welfare other wise know as democrat voters
He needs to call and ask that question directly with the IRS… Ask an expert, not what every day people thinks is fair… Too many personal variables that can change the process… He needs to make the call not you, unless you have POA to talk to them… Call them, I bet your hubby is not the first to approach this issue…
A divorce decree no longer suffices as evidence of who can claim the kids when. If they kids live with her 51% or more she is the one who will claim the kids. Financial support no longer allows you to claim the children.
He’ll have to file by paper and send in the court papers stating 2021 is his year to file the children. She will be responsible for repayment. I just got off the phone with the IRS for a similar situation.
She will need to opt out for early credits. If she doesn’t, once he claims child next year at tax time she will owe back what she received in payments this year at tax time
They will make her pay badk
If he doesn’t have them equal amount of each year regardless of what the court order says it’s illegal for him to claim them. This is not a new rule it’s always been the rule. If he shares custody then it should be every other year he claims them not every three. If he is within his legal right to claim them she will have to pay back what she gets if she doesn’t opt out of the payments next year. Both will be required to show proof they are legally allowed to claim them and a tax audit will be done on both parents to figure it out if both parents claim the same children/child.
You need to call and find out if he’s to this coming year. You will be made to pay it back. I assume he’s got the kids for visitation so I assume they think it’s fair for it’s only every 3 years. I’m sure his paid his fair share in that time.
Aint no mf.claimimg any children I take care of.
Do not matter what a court order states he must have those children in his household for 6 months or more before he can claim then divorce papers do not change IRS rules
Technically, the tax credits are for this year 2021, as it is part of the stimulus package that rolled out giving additional credits for last years tax filings (2020)but she can choose to opt out of the payments if she wants too, but I’d say they are hers and not his, unfortunately
He can’t claim his kids if they don’t live with him, he gonna needs letters from schools and doctors office confirming that the address that they have in the records is the same one as their father for the last year.
She will get the payments unless she opts out. If she does not opt out when it’s time to file taxes she will have to pay those payments back. When he files taxes, he will file his kids as dependents on this coming year’s tax return. There is a form on the IRS website also that he will need to include in with his return for each dependent. I believe it’s 8832, something like that, and the order showing they alternate certain tax years (or written agreement between them). In a few months supposedly it will be able to be updated on the IRS site for dependents.
He will be entitled to receive any and all monetary benefits for his tax year. If she gets any and doesn’t give them to him she will owe it. She will not receive any funds for that year.
I am Canadian…that’s how it would work here.
She will have to pay it back, he will only get what’s left of the tax credit
This is a question for an accountant or a tax attorney
You can stop those monthly payments
I am in the same situation and i will claim next year but I know he won’t opt out of receiving the credit for our son. I was told he will owe that and I will receive it.
Contact financial advisors they know the federal tax code. Im not sure you would get through to irs. They are still behind on 2020 refunds. I had to call irs a few times and never got a live person.
In all reality this is a new situation that nobody can answer. Not only does it vary by state but with this new covid/stimulus related crap, no one can say for sure. Ur best bet is to ask someone at a family law facilitator. They have them at most court houses.
Help a mama out and respond anonymously on our forum. What will happen with my husbands child tax credit?
She needs to opt out of receiving the payments or else it will probably be considered some sort of fraud. That is his tax credit.
If its his year to claim them she has to opt out of the payments or she will owe it back when he claims them at years end.
I would have your husband speak to a tax specialist and ask because of the court order the irs has to honor it.
It could possibly cause her to owe taxes. It won’t change his return when he claims the kids.
Whoever claims them this year gets the money starting 15 July. If the same person doesn’t claim them for taxes next year the one who got the money this year has to pay it all back.
She has to opt out. If not, she’s going to have to pay that back. I’d let her know. And that’s pretty much it.
I don’t think she is trying to be a fraud as many don’t understand . I would have him nicely inform her .
She could possibly owe it back since it can advance on 2021 credit and shes not claiming them for tax year 2021. She needs to opt out. You guys just file as usual with the kids and let the IRS sort it.
If his year is 2022 then there’s nothing that he can do because we’re not in that year yet. If the advance goes into next year, which I doubt, then she should opt out and he gets it when he filed. Otherwise he’ll need to contact the IRS and get an audit and show proof it was his year.
These credits are 2021 tax. " this yr" who’s ever claiming this year gets the extra.
Yeah he won’t get anything if she collects it each month until then she has to opt out or there won’t be anything left for him to collect.
She needs to opt out n yes it will Affect his taxes
F.O.C doesn’t handle taxes even if its stipulated in the custody/child support agreement. I figured that out the hard way. We are supposed to alternate every year and he jumps the gun and claims her every single year. The courts have done nothing and going through the IRS is almost impossible. I’ve had zero luck getting any tax money back that was rightfully supposed to be mine. 3 years in a row. Good luck!
If he is filing in 2022 for 2021 tax year then she shouldn’t be getting the payments and should have opted out of them since 2021 tax year is technically his year to claim.