atypical tax situation

[Andrew_Qin 0]

It took over a year for my ex-wife and I to reach a financial settlement to our divorce. Thus I was legally married to my e-wife during the first half of 2010 and then remarried at the very end of 2010. My accountant says I should file jointly with my ex-wife. Though that sounds like the logical thing to do, I wonder if this may raise a flag with the immigration authorities. Anyone with a similar experience?

[CarlosAndSveta 808]

It took over a year for my ex-wife and I to reach a financial settlement to our divorce. Thus I was legally married to my e-wife during the first half of 2010 and then remarried at the very end of 2010. My accountant says I should file jointly with my ex-wife. Though that sounds like the logical thing to do, I wonder if this may raise a flag with the immigration authorities. Anyone with a similar experience?

You been given bad advice by your accountant. Unless you lived in a community property state during 2010 all ties with your ex-wife for tax purposes were ended when your divorce became final. The only person you should file a joint return with for 2010 is the person to whom you were married with at 12-31-2010, your current wife. If you hadn't remarried in 2010 you would have had to file as Single or Head of Household but not Married Filing Jointly. If you happened to live in a community property state in 2010 then you would have to do a community property split with your ex-wife for the time period that you were actually married.

I would suggest you find another accountant. Your current one is either dishonest or incompetent.

[JudyKCski 12]

You file with your current wife or if she is not in the US then you file as single or head of household... not with your ex-wife.

[CarlosAndSveta 808]

You file with your current wife or if she is not in the US then you file as single or head of household... not with your ex-wife.

He was married at the end of 2010. He should not file as single. His options are Married Filing Joint, Married Filing Separately or Head of Household if he meets the requirements for Head of Household.

Edited February 7, 2011 by CarlosAndSveta

[payxibka 10,044]

You file with your current wife or if she is not in the US then you file as single or head of household... not with your ex-wife.

Is he single? You can only file single if you are single

[John+Lourdelie 28]

Read this.

http://www.irs.gov/businesses/small/international/article/0,,id=96734,00.html

It seems to be in the business section for some reason, but I think it applies

John

[CrossBorder 0]

As a former manager at a Big 4 accounting firm in the expat tax area, I confirm what the others have said. Your only options are MFJ (with your wife as of 12/31/10), MFS, or HOH (if you meet the HOH requirements).

I started a blog, Cross Border Marriage, to discuss not only the visa process, but also the complicated US tax issues that follow.

Thanks,

Mark

[Andrew_Qin 0]

Considering what I pay this firm I hope they're not incompetent. My ex-wife was living at my expense in an apartment that I own until the divorce settlement in July, 2010. Additionally, she was a partner in my business until that time. We file personal and business tax returns. I'm quite clear on the tax legality, but not clear on how a person reviewing my case would interpret this situation. Gathering from the experience of others on this forum, as well as my own under different circumstances, commonsense does not always prevail with government bureaucrats who exercise considerable power without much accountability. My gut feeling is to write a clear explanation of the circumstances in the hope that it will make sense to the reviewing officer. On the other hand, I wonder if by doing so I am unnecessarily drawing attention to something that is better left alone.

[CarlosAndSveta 808]

Considering what I pay this firm I hope they're not incompetent. My ex-wife was living at my expense in an apartment that I own until the divorce settlement in July, 2010. Additionally, she was a partner in my business until that time. We file personal and business tax returns. I'm quite clear on the tax legality, but not clear on how a person reviewing my case would interpret this situation. Gathering from the experience of others on this forum, as well as my own under different circumstances, commonsense does not always prevail with government bureaucrats who exercise considerable power without much accountability. My gut feeling is to write a clear explanation of the circumstances in the hope that it will make sense to the reviewing officer. On the other hand, I wonder if by doing so I am unnecessarily drawing attention to something that is better left alone.

I don't know how much clearer the law can be regarding your situation with your ex-wife. Once your divorce became final you are no longer entitled to file a joint tax return with her. How complex it will be to account for the business that you had with your ex-wife will depend on the form of the business i.e. sole-proprietorship, partnership, S-Corporation, C-Corporation.

[CarlosAndSveta 808]

Considering what I pay this firm I hope they're not incompetent. My ex-wife was living at my expense in an apartment that I own until the divorce settlement in July, 2010. Additionally, she was a partner in my business until that time. We file personal and business tax returns. I'm quite clear on the tax legality, but not clear on how a person reviewing my case would interpret this situation. Gathering from the experience of others on this forum, as well as my own under different circumstances, commonsense does not always prevail with government bureaucrats who exercise considerable power without much accountability. My gut feeling is to write a clear explanation of the circumstances in the hope that it will make sense to the reviewing officer. On the other hand, I wonder if by doing so I am unnecessarily drawing attention to something that is better left alone.

You should also consider how this is going to affect trying to bring your current wife to the U.S. What is the immigration officer going to think when he knows that you married your current wife in 2010 but then when he looks at your 2010 Income tax return he sees that you filed a joint return with your ex-wife? How is that going to work out with the immigration officer?

[Scott and Mhay 57]

File with current wife. That is what I did when I was in this situation. Actually I filed HOH (because I qualified) and then just amended my return to change status to married joint.