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2007 tax question!

Submitted by on Sun, 01/20/2008 - 14:13
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Hi gang,
I need some advice here if possible. First question is that I owe about $1200.00 to the Federal IRS after messing up my deductions (took way too many) and this is about 3 years old. I have waited so long that now I'm afraid to call them for fear they will try to garnish wages..etc. Will they still work with me or will they try to take my next tax refund?
Second question is:My son is 20 yrs old and joined the NAVY in June of this year. Since he lived with me for 6 out of 12 months, am I still able to claim him on my taxes and file as head of household? If I can, does this mean that next year I will have to go back to filing as single?
BTW, LOVE the website, ya'll are great!!
_________________


Welcome, I'm glad you found us!
I can't answer the question about your son, but I know someone will come along who can!
As far as your debt to the IRS. The IRS are actually really fair and easy to deal with, call them and they will set up a payment plan to help you out. If you avoid them you will run the risk of a garnishment. Relax, $1200 is really not a significant debt! Even if you are in a payment plan, however, they have the right to take what you owe from your tax return and most probably will.


Submitted by finsfan13 on Sun, 01/20/2008 - 14:18

finsfan13

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There are several tests that the IRS looks at to determine whether you can claim a person as a dependent. You have met the first test in that he lived with you for at least 6 months of last year. The second one is did you contribute at least half of his support? Did you provide his housing rent-free or did he give you money towards rent?
If you did not contribute at least half of his support then you would not be able to claim him as a dependent.
And being that I have gone through this with my oldest (it's painful when you lose their exemption :evil: ) my best advice would be to lower the exemptions on your W-4, so more tax is withheld from you. Pays off in the end...


Submitted by kscornell on Sun, 01/20/2008 - 19:46

kscornell

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