Money conflict

[Bali Hai]

What is the name of your state? New York

A friend of mine is going through a divorce. Her husband left the marital home in April 2006 to be with another woman.

The three children and my friend stayed in the marital residence from April through December 31, 2006.

My friend has a great job and filed her 2006 tax returns claiming head of household and claimed all three children. She received a hefty tax refund of $6,000.

Her husband's lawyer demanded that she turn over half the refund to the husband and she told him no way, federal tax law supersedes state matrimonial law.

The judge in the case then "suggested" that the tax refund be put into escrow until the divorce is finalized.

Her lawyer came out of the judges chambers with this information and my friend told him no way. If the judge wants this money put into escrow, then he can put that in the form of a written order.

Is my friend correct?

 

[fairisfair]

first of all, wow, you have friends that are FEMALE??? holy crap.

Second, is she right about what? That the entire refund belongs to her? or that it isn't an order until it is an order?

I can assure you that tax regulations do not supersede family court rulings.

 

[Bali Hai]

first of all, wow, you have friends that are FEMALE??? holy crap.

Isn't life full of surprises?

Second, is she right about what? That the entire refund belongs to her?

Yes.

or that it isn't an order until it is an order?

Yes.

I can assure you that tax regulations do not supersede family court rulings.

That refund was from her earnings and legitimate filing of taxes. Why should the husband receive ANY of this refund?

 

[fairisfair]

That refund was from her earnings and legitimate filing of taxes. Why should the husband receive ANY of this refund?

Did dad provide any support of the children?

 

[Bali Hai]

Did dad provide any support of the children?

No. They have joint custody and there is no child support provided by the husband.

 

[fairisfair]

No. They have joint custody and there is no child support provided by the husband.

there is no court order for child support??, or he made no contributions toward the support of the children?? So for the first 4 months last year, when he was there, he paid nothing towards supporting his children? and for the last 8 months? He did not support those children in any way? So they are never with him, and he does not support them financially in anyway? Wow, this sounds like a chick story. LOL

As for the court order, of course a suggestion from the judge is not an order, however, I have rarely seen suggestions that did not become orders.

 

[Bali Hai]

there is no court order for child support??,

Nope.

or he made no contributions toward the support of the children??

Nope.

So for the first 4 months last year, when he was there, he paid nothing towards supporting his children?

Well of course he did for the four months..

and for the last 8 months? He did not support those children in any way? So they are never with him, and he does not support them financially in anyway?

Of course he supports the children when they are with him.

Wow, this sounds like a chick story. LOL

As for the court order, of course a suggestion from the judge is not an order, however, I have rarely seen suggestions that did not become orders.

Also this man has a business in which he has repeatedly under reported income. When they used to file tax returns jointly, my friend would have additional taxes taken out to cover this bums tax liability.

Well guess what, he's going to get hosed this year!

 

[fairisfair]

Also this man has a business in which he has repeatedly under reported income. When they used to file tax returns jointly, my friend would have additional taxes taken out to cover this bums tax liability.

they were married, I hear that is what married people do.

Well guess what, he's going to get hosed this year!

from what the judge has already "suggested" I doubt it.

Okay so he helped to support the children for the first 4 months.
You said that they have 50/50 custody and he supports the children while they are with him.

I don't think dad is going to have any problem whatsoever obtaining a portion of that refund. She should never have claimed both children. Of course, we know how crazy judges always go for the girls though, right????

 

[Bali Hai]

Okay so he helped to support the children for the first 4 months.
You said that they have 50/50 custody and he supports the children while they are with him.

I don't think dad is going to have any problem whatsoever obtaining a portion of that refund. She should never have claimed both children. Of course, we know how crazy judges always go for the girls though, right????

Okay, but she needs that money now to pay the kids doctor bills. Why does it need to be put into escrow??

The judge could simply take the husbands portion into account in the property settlement.

 

[Ohiogal]

That refund was from her earnings and legitimate filing of taxes. Why should the husband receive ANY of this refund?

They are still married and it is considered MARITAL income and hence any refund resulting from marital income is a MARITAL refund.

 

[Ohiogal]

Okay, but she needs that money now to pay the kids doctor bills. Why does it need to be put into escrow??

The judge could simply take the husbands portion into account in the property settlement.

Judges do this many times when money is involved in a dispute -- tax refunds, proceeds from a home sale. They put it in to escrow UNTIL a decision is made about who is entitled to it and/or how it should be divided.

 

[LdiJ]

Judges do this many times when money is involved in a dispute -- tax refunds, proceeds from a home sale. They put it in to escrow UNTIL a decision is made about who is entitled to it and/or how it should be divided.

However, in this case the judge apparently suggested it, but did not order it. Bali's friend was correct that until the judge actually orders her to do so, she doesn't have to do so.

 

[fairisfair]

However, in this case the judge apparently suggested it, but did not order it. Bali's friend was correct that until the judge actually orders her to do so, she doesn't have to do so.

wow, now why didn't I think of that?? oh, wait, I did. LOL

 

[Ohiogal]

However, in this case the judge apparently suggested it, but did not order it. Bali's friend was correct that until the judge actually orders her to do so, she doesn't have to do so.

Correct and I agree with that. However I never said she HAD to do that. I just explained why it would be suggested/ordered to be put in to escrow.

 

[nextwife]

Plus, ticking off the judge while the divorce is still pending may come back to bite her.