When the CARES Act was first passed there was a flurry of activity in the tax practitioner community focusing on what potential issues might arise in the IRS’s administration of the Economic Impact Payment (EIP) and the authorizing statute itself. As the EIPs have been disbursed, the focus has shifted from “potential” to “actual” issues. To date, the biggest actual issue I’ve seen has been the offset of EIP to child support where one spouse is not liable for that child support. It is the prototypical “injured spouse” case, but where that remedy has been unavailing.
The magnitude of that issue (in terms of how many people it has negatively affected) has put it on the IRS’s radar. The IRS specifically acknowledges that issue in their FAQs, as covered by Keith here. That post, as well as my own previous post on the issue now have accumulated over 200 comments. If you have not had a client with this problem or otherwise known someone who experienced this problem, you might take a moment to read a few of the many comments in order to obtain the human perspective of the impact of this injured spouse issue. From what I can tell, the IRS has not yet fixed the problem for those it is trying to. Furthermore, the fix proposed wouldn’t help a huge class of taxpayers -those that didn’t file Form 8379 with their 2018/19 return. There is a serious concern that injured spouses may end up with fewer actual dollars in their pockets if the IRS delays too long.
Action is needed, and quick (at the absolute latest before December 31, 2020). This post outlines why I think this sense of urgency is required from a legal, if not humanitarian, sense.
read more…Something law students learn in Federal Tax I is the concept of “time-value” of money. $1 today is worth more than $1 a year from now. In real life, this truth takes on less-than-trivial meaning mostly when the $1 has a bunch of zeros added behind it. For EIPs there are not enough zeros behind the $1 for time-value to be a huge concern. And so, when I speak of the fewer actual dollars going to injured spouses that have to wait until filing 2020 returns, I am not speaking from a time-value perspective.
Similarly, though more pressing, I am also not speaking of the very real “opportunity costs” of delayed receipt. People that need the money now may have to choose between foregoing necessary purchases or going into debt to fund them. For the clients I work with it is almost always these concerns that are what really matter -not the amount of interest you could earn if you had the money now, but the amount of interest you may have to pay without it.
But since I am not an economist and this is a tax procedure blog, it is the procedural issues that I will focus on. And from a tax procedure perspective I believe there is a real concern that the “advanced” EIP may be worth more to many injured spouses than the EIP claimed on a 2020 return in terms of actual dollars in the taxpayer’s pocket.
Imagine essentially identical individuals, each entitled to a $1,200 credit. One gets their $1,200 EIP this July. The other has their $1,200 credit intercepted to go towards their spouse’s child support obligation. This latter individual (the prototypical “injured spouse”) has to wait until filing their 2020 return (with Form 8379) to hope to receive the money in their pocket. Apart from the wait, this injured spouse may end up with fewer actual dollars sent to them. Why might this be?
Put simply, it might be the case if the injured spouse has a tax liability on their 2020 return that eats into the EIP (obviously they had no such 2020 tax liability when receiving the advanced EIP before the close of the taxable year). Arguably (though I think likely), the EIP is not “protected” against tax as shown on the return claiming it. IRC 6428(b) describes the “treatment” of the credit. The cross-cites of that statute boil down to “treat this like any other refundable credit.” In a nutshell, the way a refundable credit works is to first reduce tax, and then pay out (“refund”) whatever is left over. The critical part is that a refundable credit first goes towards reducing the tax on the return. If there is more refundable credit than tax, there is an “overpayment” (see IRC 6401) that the Treasury issues as a refund… (generally) subject to offset against certain other debts (see IRC 6402).
So if I’m due an EIP of $1200 on my 2020 tax return because I didn’t receive any “advanced portion,” but I have tax of $1000 on that return, I will get a check for $200 -subject (potentially) to offset. Yes, I got the full “value” of the $1200 EIP, but I didn’t get all $1200 in my pocket the same way I would have if I received the “advanced” credit.
(Note that if the EIP were not applied to tax as shown on a return the IRS would be in the extremely awkward position of issuing a refund (the EIP) to 2020 filers that actually owe on the return. I don’t think this is required by statute, though I do think Sec. 2201(d) will create a whole other set of headaches for the IRS in the 2021 filing season pertaining to offsets… more on that later.)
Problems With My Reasoning
But wait! Why does the injured spouse in this example need to wait until filing their 2020 return to get the credit? Why can’t they file Form 8379 as a standalone now? In fact, perhaps it would be completely incorrect to file Form 8379 with the 2020 return because their 2020 return would show an EIP due of $0 -they (arguably) “received” their full credit, which would then reduce it to $0 on the return (see IRC 6428(e)(1)).
That may be correct. But, at present, it might not resolve the issue for two reasons: one legal, one administrative. Let’s begin with rehashing the administrative issue, which will play into the legal issue.
The administrative issue is that unless it was submitted with your 2018 or 2019 e-filed return, you cannot submit a standalone Form 8379 electronically to the IRS. And right now paper is piling up at the IRS processing centers. Further, there are serious questions about how to even properly fill out Form 8379 for your advanced EIP. If you were to file your 2019 return electronically, can you include Form 8379 with it for a credit that doesn’t exist on a 2019 return?
Right now the IRS appears to be using the fact that a Form 8379 was filed at all on a 2018/19 return as a “marker” for assisting these injured spouses with their advanced EIPs. As mentioned previously, progress on that front appears to be slow. But even assuming the IRS fixes that issue soon, the problem remains for any of the following: (1) those that already filed 2018/19 taxes without Form 8379, and (2) those that haven’t filed 2018/19 taxes yet, but that would only be eligible for Form 8379 based on the advanced EIP. For example, if you owe on your 2018/19 return, or if all credits/refund is attributable to the liable spouse, will the IRS system (or tax preparation software) process or even allow you to file Form 8379 electronically? I haven’t tried, but I have my doubts that a 2019 return showing a balance due could electronically submit Form 8379 for the advanced EIP that (apparently) goes nowhere on the 2019 return itself.
(As an aside, I am also of the opinion that the “advanced” EIP should be treated as a 2018 or 2019 credit based on the clear language of IRC 6428(f)(1) and (2). That would arguably allow a 2018 or 2019 return to include the credit on Form 8379, but creates a whole other set of problems as discussed by Bob Probasco here. Nevertheless, I recognize that I remain in the minority on that view.)
In any event, administratively, I have serious doubts that either standalone Form 8379s or those filed with 2018/19 returns will be processed or otherwise resolved any time soon. And that leads to the legal issue. Because of the statutory language failing to issue the “advanced” EIP by 12/31/2020 may carry legal consequences.
IRC 6428(f)(3)(B) specifically provides that “No refund or credit shall be made or allowed under this subsection [i.e. the advanced credit] after December 31, 2020.” Perhaps there is a workaround to this. One may argue the refund/credit for injured spouses already was made or allowed prior to 12/31/2020. Now, with the injured spouse request, the IRS is simply trying to route the EIP to the right location, which doesn’t run afoul of the 12/31/2020 prohibition. As straightforward as that interpretation may be, it isn’t a slam dunk, and history gives some reason to be wary. In 2008 the IRS scrambled to process injured spouse forms before December from concerns that they were legally barred from issuing the credit after 12/31/2008 based on essentially identical limiting statutory language. The TIGTA report here is instructive, particularly at page 3.
I hope the interpretation that advanced EIPs were already issued and can now be re-routed without issue prevails. Because if it doesn’t then any payment made after 2020 must, by necessity, be the “regular” EIP running headlong into the issues I’ve already outlined (i.e. being reduced by tax shown on the 2020 return, to say nothing of being reduced by the amount of advanced EIP already issued).
The long and short of this is that injured spouse processing is a morass that needs heightened IRS attention. This is true with even greater force if 12/31/2020 becomes a magical “cut-off” point where any movement of money attributable to “advanced” EIP morphs into “regular” EIP, not unlike Cinderella’s stagecoach into a pumpkin.
I have serious concerns that go beyond just the injured spouse issue, and to whether EIPs claimed on 2020 tax returns should be given other “special” status because of the broad language of Sec. 2201(d). But that is a bridge we can cross closer to the 2021 filing season. For now, we know that the injured spouse issue exists and needs attention. I don’t envy the IRS’s predicament in administering this code provision, especially in the midst of a pandemic, “TCJA” changes, and the Taxpayer First Act. But this is real money to real people in real need. It deserves attention.
About Caleb Smith
Well said. I have yet another concern for the many injured spouses out there. Who says, at this point, that they will even be able to get the EIP on the 2020 return if they file jointly with the spouse who had the arrears in child support?
To my understanding the reconciliation would come out with nothing for the injured spouse until an injured spouse determination is actually made because the spouses were actually issued the Advance EIP, it just didn’t get to them.
I can see the IRS reasoning that if they “allow” this in the reconciliation on the 2020 return what is to stop the spouses that actually owe the back child support from making the same claim? Silly, I know, but I can see it.
Oh, and unless they get something in place for the 2020 returns, assuming they don’t get it fixed before then and get these injured spouses their advance EIP, what is to stop the EIP on the 2020 return (especially in community property states) from being taken against the remaining arrears in child support still owed? The IRS doesn’t clear the liens from the state until the states clear them.
For example, my son had a small arrears on his child support ($700) that was taken from his 2019 refund in Feb 2020. But the state never cleared the lien with the IRS so it was also taken AGAIN from his and my daughter-in-loves advance EIP in May 2020. Now he has to try to chase the state to get the second $700 back. (That is a whole other issue with lien releases)
I believe the IRS needs to set up a “special” fax line (as they did for NOL’s) to let Advance EIP injured spouses send in an 8879 for the Advance EIP. Mailing one in is a nice theory, but they were taking 16 weeks or so to processes before the shutdown and now with the mail backlog and the 8879’s being mailed to the same locations as the tax returns in reality how long will it take to process those forms?
I filed the Injured Spouse form with my 2019 taxes on April 11, 2020. $1200 went straight to my husband’s arrears. When I called the IRS to find out where my half is they told me to call back in 3 weeks. I did. An hour and a half just to have a rude woman tell me her system was down and to again call back. When I check the website it still says my return is being processed. Really? If that’s true why does the county have half of my stimulus yet I have nothing? So basically I am saying whether that form was filed on time with your taxes electronically they still are having issues paying the injured spouse their portion. And yes I am in California a community property state.
Caleb,
Great post. I’d like to point out two different flaws with the way the government decided to approach this issue.
First: determine whether there is a injured spouse based on a return with Form 8379 filed. Isn’t there an incredibly easier way to determine that there is an injured spouse?? Why isn’t simply that a joint return was filed sufficient?? There certainly could be some over-count that way, but it would be exceedingly small. You would be talking about a situation where A and B file a joint return, there is a past-due child support obligation and . . . A and B are *both* liable for that child support?? How often does that happen? A lot less frequently than a situation in which only one is liable for that child support but they neglected to file Form 8379, I would guess. So, why does the IRS even need to see that Form 8379 was filed, when offsetting child support obligations? Unlike most liabilities for which normal refunds can be offset, child support is almost never going to be a liability for both spouses.
Second: how is the EIP going to be split between the liable spouse (offset) and the injured spouse (refunded)? Section 6428(e)(2) *suggests* a default rule that you split the EIP equally, 1/2 to each spouse. I don’t know that this *automatically* applies to the child support offset though. It refers to “refund or credit”, but then section 2201(d) of the CARES Act limits the *offset* of any “credit or refund.” So it seems there is room for argument that Section 6428(e)(2) does not prohibit a calculation of the offset amount other than 50:50.
How might that be allocated in determining the offset amount? You can certainly argue – as many comments in those previous posts did – that if the spouse liable for child support is not the biological parent for child X, then the portion of the EIP attributable to child X should not be offset and instead should be refunded to the injured spouse. What if both the liable spouse and the injured spouse are biological parents of child Y? Should that portion of the EIP be allocated 50:50 to both parents, and thus only 1/2 subject to offset? Or should the portion of the EIP attributable to child Y not be subject to child support at all? Should we favor child Y or the children who were supposed to receive child support (and may themselves be receiving, through their parents, separate EIP)? These are policy questions, not legal questions.
But one thing seems clear: determination of how much of the portion of an EIP attributable to a child can or cannot be included in the offset for past-due child support obligations would *probably* be determined either by section 6428(e)(2) or based on the biological parents of that child. Form 8379, on the other hand, splits refunds based on allocation of income between the two spouses.
So – Form 8379 isn’t *really* necessary to know that there *is* an injured spouse when offsetting an overpayment against past-due child support obligations. And Form 8379 doesn’t contribute to determining how much of the EIP should be attributable to the liable spouse.
Why should the IRS even need Form 8379??? Why can’t they work this out without requiring taxpayers to have submitted that, or submit it now through some other process??? That would seem to eliminate the administrative/legal issues you’ve identified.
Simplicity beats precision, in this case. Perhaps there will be some taxpayers (probably not very many) who retain some portion of the EIP that really should go toward those past-due child support obligations. But the IRS could eliminate all the administrative/legal issues you’ve identified – and get that money back to the taxpayers *fast*.
Could we hire you to represent us? Very well said.
I still haven’t received a stimulus payment and I have had to file several injured spousal forms besides the actual form I had to file with my taxes !
Wv child support has made me fill out and send several since April and I should not have had to do that !
The IRS seems to have problems with any situation that deviates from the Common Law analysis quote anecdotally attributed to Blackstone that “the husband and wife are one, and the husband is the one.”
United States. v. Nielsen, 1 F.3d 855, 857 (9th Cir. 1993), cert. denied, 525 U.S. 827 (1998); Wallin v. Commissioner, 744 F.2d 674, 677 (9th Cir. 1984); United States v.
Grimland v. Commissioner, T.C. Memo 1993-367; In re Washington, 172 B.R. 415, 418 – 419 (Bankr. S.D. Ga. 1994); Boltinghouse v. Commissioner, T.C. Memo. 2003-134 were about tracking by Social Security Numbers.
And, of course, there is the ongoing run of “Innocent Spouse” cases.
[With the recast of Section 121, the old “tainted spouse” issue in excluding from gross income the gain from the sale of a personal residence seems to have been relegated to history.].
The IRS dysfunction in such regard need not be connected to a broken or infirm marriage. When I was executor of my sister’s estate, there was a letter received in connection therewith from the IRS, addressed jointly to me and to my wife (who continues, after 30+ years, to go by her birth surname); my wife having had zero connection to my sister’s estate.
To make things even more confusing there are other issues clouding the legalities of this IRS oversight and it effects the timing of any refunds for offsets issued for back child support on almost an individual level. The issue is that everyone’s offsets are also subjected to rules set forth by the individual state that is currently “holding” the injured spouse offset payments. I can only assume that the vagueness of all statements given so far sort of blanket cover anyone that could be liable.
In my case, the State of Arizona Child Support Services told me today that I need to file a separate Injured Spouse claim to get my half of our stimulus payment back in addition to the one they already have knowledge of that was applied to my half of our federal tax return this year. Everything I’ve read everywhere says you do not need to file another form for the stimulus refund but I’m doing this now anyway despite feeling like this will probably only cause some issue for me down the line and not help me get these funds any faster. Also the little voice in my head keeps saying, “stupid, stupid, stupid…” as Im typing it up again. Additionally, Arizona has 6 months to notify the treasury department that they will, at their discretion and after reading over all our tax forms submitted, be sending my payment back to the IRS. That puts us in October I believe? After reading your article above, it only makes sense to delay further and work this into next years tax filing since it is in fact an advance on next years taxes. Sigh
I’ve read on various support pages for people in this same situation, this time frame isn’t as long in other states and a few people have either gotten back their offset or show evidence of progress being made on resolving the issue on their transcripts. I’m all for states rights, but this seems like a federal issue to me so why inst it regulated more uniformly? Seems unfair, how do I know how government officials perform in Arizona, I don’t vote there. I live in Indiana so I don’t really have a say in the matter of what they do with my money.
My transcripts show my return was received April 15th and processed March 2nd. I electronically filed this year and my return was accepted by the IRS on February 2nd. I mailed IS form separately one week later and my transcript notes form 8379 being received on 2/10/20. They used some of our refund to pay taxes we owe split the refund in half and then applied both halves to his child support debt. I even received a notice of the offset for the child support of his children that are about 10 years younger than me, now adults with full time jobs, solely in my name. I agree with the above comments suggesting the demise of form 8379. There’s probably an extremely low percentage of joint filers that would be liable for the same child support debt. Our stimulus payment says it was deposited April 15th but the offset hotline informed us the entire amount for my husband, me and our two kids was offset to the state of Arizona under his social security number.
Im not looking for legal advice or looking sympathy. Writing it all out is kind of like therapy I guess, you get to let it out after keeping it all in when in reality you want to scream. At times I find it fairly entertaining to see how this is all going down in my family’s history book. Laughing at it is the only way to wash away some of all frustration and tears.
We had just barely started to get on the positive side of the last recession when this whole virus business started. My husband has been filing for unemployment benefits for the last 3 months but due to a small clerical issue, he has no payments released yet. They are being issued everyweek but payment is being withheld until someone can get to his case. He was unable to work since our children’s school was closed and was now doing distance learning with them as I was busy still with my full time job that had also moved to our home. Apparently you are always supposed to state you are able to work, even though the issue why you cant work is one of the reasons for being allocated the emergency fund. Regardless, he has been looking for work the entire time. We are all still together though and I am grateful and blessed to have my husband as my partner and this family. I’m grateful for the life God gave me and can accept this is all according to his plan. We made it this far and have been provided for even when it was looking pretty grim.
BACK STORY ON THE WHOLE CHILD SUPPORT ISSUE IF INTERESTED:
My husbands back child support was issued all at one time by the State of Arizona after his then 17 and 20 year old’s mother had applied for some meager state benefits. Because that cost had to be repaid, rightfully so, the state opened a case against my husband charging him for that benefit plus about 10 years of back child support for the two children, something their mother never intended to collect.
His absence in their life was due to the fact that his former residence for the previous 10 years was in a Florida state prison. He served ten, whole, full years incarcerated for a crime he did not commit, the last 6 months he served knowing he had no time to file for one last hearing in the lower courts to release him. He was simply out of time after diligently working on proving his innocence for almost a full decade. His last hearing in the Florida supreme court vacated the judgement and remanded the case back to the lower court solely because of documents he submitted himself. They ruled that in his trial, evidence that could have proved his innocence was not admitted when it should have been. The judge in the lower court congratulated him on his win, but also after seeing that he was only a few months shy of serving the full sentence, challenged him to finish the task of gaining his release in the time he had left and sent him back to prison.
His case oozes with unjust and unfair treatment because the so-called victim in the case is a member a family well known to the judges and city officials for making big political donations. The case caught the eye of a local news reporter that wrote often out the abuse of power occurring in this case but at the time fell on deaf ears, or probably some well paid off ones.
My husbands sister hired J Chaney Mason using a good portion of a settlement she received from being hit by a drunk driver, which eventually killed her over the next 3 years. He wasn’t able to do what my husband eventually accomplished and his case may be one of the few, if not the only case J Chaney Mason ever lost. They even used my husbands service as a US Marine against him to defame his character.
Its hard to watch my husband deal with the aftermath of this life changing event but in reality its hurting us all. Ultimately what’s more devastating than loosing stimulus payments, tax returns and good paying jobs is that he lost the relationship he had with his older children just from being gone for so long. He is constantly fighting an uphill battle with one hand tied due to his “felony” and “deadbeat” status. He’s actually the most honest and genuine person I know. But something we cant change is that ten years of his incarceration and humiliation has touched almost every part our family’s future and there’s nothing we can really do about it.
He should sue the state for wrongful imprisonment. With the evidence he could convince a jury. It wouldn’t fix everything but it would maybe wipe his record and help financially if you could even get a monetary settlement.
I have filed both 2018/2019 tax returns with form 8379. I have yet to receive my tax return back nor have I received my portion of the EIP. However, I did receive the letter stating that it has applied to my husbands back child support.
We also have legal custody of my son’s daughter who is now 4 years old. My son, who is not currently employed, also received a letter stating his EIP was applied to his back child support. But, where did it go? Who did it go to exactly?
I Just got a letter today saying that my half along with my husbands half was applied to his child support to so I don’t know how they’re going to get my half of the money back but it’s not right you know that They take 100% of that stimulus check to give it to his one child that he owes child support for when we have three children of our own together and then you give me a penny and I have filed injured spouse for years It’s just not right and I’m so upset about it so I’m trying to figure out what to do now what do we do now because I truly needed that money and you know I could understand if someone didn’t pay Dymons child support for your kids but my husband pays every week and has said she has been born he got behind because way before I even existed he and his mother of his child had got back together for two years and that’s where theChild-support racked up because he thought it just stopped well he was wrong So honestly if you’re a father who has been paying your child support but had a rough rough patch or someway couldn’t pay it but you continuously pay and you make an effort. They shouldn’t be able to take your money and they damn sure shouldn’t of been able to take all of it knowing that you’re married with other kids I just think it’s so not right and they should be ashamed
Same has happened to us. My husbands kids are now grown. He still pays back child support because of being laid off. I have one child at home and only get child support for him when they offset his father’s taxes. State tax I get 40 days after IRS releases it and Fedral takes 6 months to get. It has been this way for 12 years. They have taken $345 a week for 14 years from my husbands check except when laid off. This year they took our $2900 and we still have a child at home and the ex spouse doesn’t. And I can’t file injured spouse as I’m disabled and haven’t worked in the past 10 years. Something really needs to be done with this backwards system they have. My ex also can pay he just chooses to invest my child support money into his properties and business he has. He is allowed to do this so we suffer because of this very flawed system.
You can file injured spouse to get your portion of the stimulus even though you don’t have earned income!
The exes don’t have the money yet eithe. It is likely being held the typical 3-6 months for you to get your portion of it back. My ex has never been married and they hold offsets for months before I get them. Should come with the interest they’re earning off of us ALL. As an ex I agree it’s not fair to take YOUR portion or your kids portions either. I also feel somewhat bad for the decent MEN who do make regular payments on time. For those who don’t worry about supporting their other children it’s simply Karma.
I don’t have any children my husband owes child support and the child support division told me they don’t have my stimulus payment I don’t owe child support for another womens children . This person is deceased which makes it even worse. I am a dialysis patient and really need my stimulus money for medical expenses . I don’t know where it is or how to get it.
My name is Tama Batten .. I have called child support .. referred to IRS .. I have called government offset .. I was referred to IRS .. I have called every week since April 30 2020 .. I was told I was redundant … I was told that if I would out higher payroll taxes , I would not owe at the end of the year … I was told that I was rude and threatening.. I asked what I said that was threatening.. the only thing the agent said was that I said she might be misinformed and possibly wrong with her information ..
anyway as I said, I have called IRS every week .. the last few times I was told my application of injured spouse was not necessary because the only way I would receive EIS is to “ try” to file a “ recovery” on my 2020 taxes .. I have called the Bureau of the Treasury .. and no one entity speaks higher than the IRS .. so needless to say I had no way to collect , as an injured spouse , any of the monies I might have been able to use .. my resources are exhausted
My mind is exhausted and my impression of our nation being fair and equal to all citizens no longer exists … so I cannot help stimulate the economy because I have nothing to stimulate with .. Mr. Smith .. you are right in what you said.. I hope you continue to speak for us ..
I am an “injured spouse” in this situation and I just wanted to tell you my experience with the issue.
My half of the stimulus check was NOT seized by child support. Therefor there would be no reason for me to file an injured spouse form, because they didn’t take my half. My husband and I have two (now three; but only two qualified for the stimulus) children. Our total stimulus would have been $3,400. ($1,200 for each adult and $500 for each child). My husband owes back child support from a previous relationship. I was due for the $3,400 to be deposited into my bank account on April 15,2020 (per the IRS “get my stimulus” tool) but it never showed up. We got a letter in the mail from the IRS stating that $1,700 had been intercepted. Only my husbands half. So my question is, where is my half? What happened to my money?
When I file taxes and file an Injured spouse form, it takes around 12 weeks to see my half of the return. The reason I file that form is so they don’t seize our entire tax return… but in this situation with the stimulus, they didn’t take the entire thing. Only his half. So there is nothing for me to file for. Unless they fix this issue soon… I have a feeling that I will not ever get the $1,700 that I am entitled to
I have exactly the same issue. So frustrated.
I am also in this same situation in that my and my son’s stimulus money was never received. We got 2 letters from the Dept. Of Treasury, one addressed just to my husband which stated his $1700 (himself and his son with his ex) was taken to pay back his child support arrears and then a 2nd letter addressed to both of us again saying $1700 went to back child support. My husband contacted the child support agency and was told that only $1700 was applied to the arrears, so where is my $1700??? I have called the IRS three different times and have been told 3 different answers. First lady, who was a total bitch from the first question of my name, said that in total all we were eligible for $1700, not $3400. She continued to tell me that injured spouse has nothing to do with stimulus funds. She was extremely rude, uncaring and interrupted every time I tried to speak. Second lady I spoke to was very nice but all she said was that the IRS is aware of this situation and to just wait. It’s been over 2 weeks so I called back again today. Third lady (Ms. Jones) also was very rude and not clear in answering my questions. She told me that I would have to claim it on my 2020 taxes.
I am frustrated with the whole thing and no one giving any resolution to injured spouses. I am an upstanding, tax paying American so why am I being penalized for something I have no legal obligation to??? Its not right. Please continue to fight for all of us who are still waiting for our money.
I got the same two letters also it upsets me because my kids are little two of my kids are my husband And mine and two are not so why should my kids have to pay child support for grown kids and mom on drugs never worked to take care of her own kids. I lost my job do to this and have bills and food and everything else to pay
Is there a way to get my $500 for my biological child that I did not receive since my husband owes child support to his ex? The $500 was generated from me birthing my daughter and supporting her by myself. Only to have her money given to a different family where she and I will not receive any benefit. Also how about splitting the husbands amount in half to benefit each family. The ex received the money for both kids they share, her share and his share as well as my daughters portion. Is there a way to get my daughters $500 back?
I am In the same boat the child support agency where my husband owes child support still tells us that they have not received my 1200 which I know to be a lie because I called the Nashville child support office in Tennessee and all they could tell me that is if they had it they couldn’t give it to me and they could not tell me if they had it but the IRS would have to ask for it back I call the IRS and the IRS continuously instead of answering my questions finds it funny to send me to some automated system that eventually hangs up I was also told by my tax preparer that where I have a letter stating that it went to my husband’s child support that I would not be able to get my stimulus money with my 2020 returns because the IRS considers that since my 1200 was sent to my husband’s child support that that was stimulus money that was received even if it didn’t go to me I will not be able to get it with my 2020 return that the IRS considers money sent to the child support agency as being received even though I didn’t get it so anyone expecting their stimulus money with their next year’s taxes this is false advertising injured spouse is will not receive it with their future income tax returns for 2020 this is outright thievery it’s either the IRS has pocketed the money from Android spouses or the child support agencies that have it have put it into their own pockets this to me is fraud and theft I wish there was a way I could sue I believe a petition needs to be started and sent to Washington on this matter and I don’t know how to do this and how people can go about doing signatures but this is theft theft of the American taxpayers and theft of their children who have to pay half of their stimulus to the to the child that their rears go for
my name is Marie Farrah and in my personal opinion it and from what I have been told by my tax preparer and by other tax preparers is that people that got their stimulus money the ones that filed injured spouse has will not get the stimulus money on their 2020 returns because the IRS considers it being received money even though it went to their spouse’s child supportthis is a lost cause for anyone who is seeking answers on if they will ever see their stainless money it’s a no
Okay your comments really help me to understand that it’s not just I that thinks this situation is really out of hand. I have filed injured spouse form for the past five years to not get caught up in the child support payment thing. But I guess we marry and pay through the nose in one form or another. So after waiting since February for my federal return to be amended the stimulus payments came right after. So today I got my refund for the federal offset today. Thank you god. But in same token I was told by child support that my stimulus and regular amended return would be given back in one check minus my hubbys 1200. Bull shit. My stimulus still in limbo and my federal was taken aback by 700 dollars. Wth, can we get a break. Now what. Do we still wait, or do we fill another amended return for 2020 and get it back that way. Please help need more clarification.
My name is Patricia Kay is totally unfair that I have not received my stimulous check and there’s another one coming why isn’t any one aknowling the injured spouse I feel I’m getting punished for my husband owing child support so are we going to get our portion of the check or not
Thank you for acknowledging us. Helps to know someone is fighting for us!
I’d like to thank you Caleb for doing an article on this. Many people think that we are undeserving because our spouses owe child support but the truth is inflation on Child Support is huge especially when the Custodial Parent get’s any kind of State help. You can turn $300 a month into $650 a month fast to help pay back arrears and most people are paying this money far after their children turn 18. Some parents I know are still paying back CS for kids that are now in there 30s and 40s. My family needs help and is suffering this pandemic along with every other american and we need help too.
!st day of August and still have heard nothing. We have been discriminated against and no one even is covering this news. Over 800,000 of us still waiting and no one knows where our money nis!!!
My husband has paid on time and in full for 15 years, yet is still so far in arrears that he will never catch up in his lifetime.
The 15 years of continuous payments were assisted by ME, the injured spouse. Without my additional income, my spouse wouldn’t have been able to cover basic expenses, let alone child support.
What do injure spouses get for increasing the CS paid in America? We, and our children, are constantly treated like we are lesser humans that DESERVE no aid.
Even after the first “glitch”, the HEALS act would do it all over again.
The current system is NOT about supporting children. It’s about penalizing split families for life for the “sin” of divorce.
Why do two-parent families never have to pay back assistance, but split families do? America is not giving equal treatment to split families.
The current system is hurting ALL members of split families. It is literally taking $1.18 Billion per year away from America’s poorest children, and then wonders why they can’t make anything of themselves?
26 states have a ZERO pass-through rate. Meaning if the child has ever had state assistance such as pregnancy care, Medicare, TANF, the State/Fed keeps 100% of child support sent for the child.
Only TWO states pass-through 100% to the child.
Most two-parent families get pregnancy care and Medicare for FREE, but split families owe it all back PLUS interest?
It’s time for this to change. Let’s not give this broken system to our children and grandchildren.
I too am
An injured spouse and me and my son have to suffer. My mortgage is behind and since I work for a office furniture company, I’m barely getting any hours. I’m fact my job just passed out a voluntary lay-off paperwork. I could really use my money to help stay afloat. I was told it’ll be resolved by August 15 if not call back and I may have to claim it on my next year taxes.! To be taken again?? What a way to help tax paying Americans !! We need our money !!
We’ve been married 11 years and after the first year I’ve always filed injured spouse as I have 5 children from my first marriage. My husband is disabled and on social security. All of his children are grown. Theoretically- they wouldn’t intercept his because they weren’t intercepting those on social security, and they wouldn’t intercept mine because I file injured spouse. Well- guess what? HE got a check mailed to him I don’t know why it didn’t just direct deposit. But mine? Where I file injured spouse? Yea. Intercepted. Got the letter. In my name. Beyond frustrating. Spent a day on the phone with about 5 different entities- and the final answer? I have to wait until the government sorts this out and recalls the payments of injured spouses all over the country. Wisconsin holds marital intercepts for 6 months. That’s November. In the mean time- lost my job, closed my bank account so they’d quit charging me fees overdrafting my account, my unemployment has yet to kick in. And they took my stimilus for me and my kids. Beyond frustrating. Now I have to wait for it to kick back, then they will send it to my bank, wait for it to kick back from there- and THEN to me. Because they can’t help me cancel my direct deposit information. So if there is a 2nd stimilus, I am hoping that I don’t have to go through all this BS. My check was scheduled April 30. Tomorrow is August 1. I’m still waiting…beyond frustrating.
I am a 7 months pregnant healthcare worker with 5 children (all with my husband) at home. I work 40 hours a week in an environment where I am constantly at risk for COVID exposure. My Husband’s back support for his one child from a previous relationship was compounded all at once because he did not have receipt for 2 years of cash payments at court (lesson learned), but he is otherwise current and working to repay those years of arrears. His ex now has 4 children with 4 different men and lives off of child support and public assistance in a house her daddy bought her. Yet somehow she is entitled to 1/2 of my children’s EIP on top of the $1,200 from my husband, which is an entirely separate issue, but the half of our joint EIP I should have received has been offset to be given to a woman who received not only her EIP for her and her 4 children, but the EIP of those children’s fathers as well. I feel like the wrong woman is being punished here and there’s no way to fix this and no compassion from those with the power to change the system. I learned today that the IRS has designated this issue as one of the 5 EIP issues they are referring to the Taxpayer Advocate Service reps beginning August 10, so hopefully they will be able to come to some sort of resolution.
I have exactly the same issue. So frustrated. I have called all the numbers on all the letters and they all say I am talking to the wrong person or to call back. One man even told me that I would have my portion 8 weeks after the website said it was deposited and it never came.
I am an injured spouse and I am still waiting on my half of the stimulus check. It was offest not once but twice by child support even thought they know they already received my husbands half. And just to clarify, my husband was hit with 6 years ($38K) of arrears for a child he did not know was his. This is wrong in so many ways, it is a unpayable debt that continued to grow with interest. He was supposed to get passport to travel for a job promotion but because he was hit with 6 years of back support at once he was unable to. He lost the promotion and then realized that he was never going to be able to go any higher in the company because of child support. I understand his portion going to child support even though I believe we are all in a crisis and everyone should have gotten their portion but to take mine and mine kids money is just wrong. And 6 months later we are still waiting and no one in the EIP, IRS or TAS will/can help me. I guess we just don’t matter!!!