does anyone no about filing taxes?

Question

my boyfriend bought a house in his name only he is on workmans compensation and just recently 12/06 started on ss disability. i usually claim head of household but since i live in his residence how will this work now? and what tax is he entitled to now that his a home buyer? not quite ready to go to taxman.

Answer 1

You are not married. You are still head of your non related household if you pay over 50% support for dependents within your household. If he is the main support and he claims you as part of his household/dependents - you cannot claim.

Expenses acquired towards purchase, moving can be itemized if they exceed the standard deduction amount.

As far as assisted tax prep. IRS has designated days to provide free help to actually complete the forms. AARP members set up free low income tax prep at local libraries, etc. As far as pay help - go premium or not at all. Check individual offices out thoroughly (BBB, etc). IRS does have some individual offices on their automatic re-reconciliation list when they find too many discrepancies created by certain offices.

Answer 2

If he doesn't have taxable income, then he wouldn't have to file, and nobody would be claiming the mortgage interest and property taxes on the house for tax purposes. If he has other income than the workman's comp and ss disability, then he can claim those if he itemizes.

You said you usually file head of household - that says you must have a dependent living with you, or are supporting a parent who does not necessarily live with you, since otherwise you would not be allowed to. If your boyfriend was formerly your dependent, he would not have qualified you for head of household status - only certain relatives do. If you've been filing as head of household and DON'T have a dependent, then at some point the IRS will probably catch up to you and look the for money back that you got by filing a status you're not entitled to.

Even if you have say a dependent child living with you, you wouldn't qualify for head of household unless you provide over half the cost of keeping up the home, which it doesn't sound like is the case. So if you had enough income to have to file, you'd file as single assuming you aren't married.

Answer 3

It may be time for you two to seek the advice of an EA enrolled agent or a CPA qualified to do tax preparation. If your b/f is on Social Security Disability part of it may or maynot be taxable depending on the other income he earned for 2006. If it is State disability it is not taxable. Workman's Compensation received for an occupationl injury or sickness are not taxable if paid under a workers comp act. Benefits paid to survivors are not taxable. Retirement plan benefits from workmans comp based on age, length of service, cont. to the plan etc. are taxable even if the worker retires because of an occupational sickness or injury.

If the home is only in his name he is the only one who may legally claim the mortgage interest and real estate taxes paid, providing he is the one who paid them. IRS states that the loan must be secured by the residence and owed by the taxpayer as well as paid by the taxpayer in the 2006 tax year to qualify for an itemized deduction.

Head of Household filing status denotes an unmarried individual who provides a home for a qualified individual, usually a qualifying child who meets all of the dependency tests for 2006. The HOH paid of 1/2 the cost of keeping up a home that was the main home for all of 2006 for their parent who can be claimed as a dependent.
You may NOT claim the Head of Household filing status if:
1. the qualifying child was claimed as a dependent of an ex-spouse based on the rules for children of divorced or separated parents.
2. Any person who is the taxpayer's dependent ONLY because they lived with the taxpayer for all of 2006.
3. Any person claimed as a dependent under a multiple support agreement.
THESE ARE NO NO's.

As to "what tax is he entitled to now that his a home buyer?"...you can usually only get back what you paid in to the IRS and the State. Certain circumstances allow more $$ back than you put in, such as EIC, Refundable Child Tax Credit and Credit for Federal Excise Tax Paid which are all refundable and add to your Federal withholding. If you put no $$$ in, the chances of getting anything out, even with a house, are slim to NONE unless you meet the qualifications for some of the tax credits.

Go to a qualifyied professional this year. Your tax situation has changed and it is no longer a quick fix fill in the form tax return. You both have varying forms and things to consider that only a knowledgeable tax professional can help you with.

Good luck!, especially if you go it alone on preparing the tax returns.

Answer 4

Easy questions first. If he itemizes, he can claim mortgage interest and property taxes. If he is on WC he may not have very much taxable income so that may not matter.

To claim Head of Household, you (not your bf) have to pay more than one half of the upkeep of the home. Is the child his as well? If so, he could claim HOH. You do need a qualifying child to claim. You can only have one HOH in a household.

You have given us very little to go on. I recommend going to a CPA or Enrolled Agent (someone has mentioned on this board that H & R Block Premium offices are staffed by enrolled Agents). What you do not want is some rookie tax preparer sticking the disability onto the return.

Answer 5

If someone earned $8600 in wages (W2) and had taxes withheld then you fairly might desire to report a tax return to get the withholding refunded. If someone earned $8600 in self employed (style 1099) then specific you're at risk of report a tax return style 1040, Sch C and Sch SE. sturdy success

Answer 6

First things first. "no" is spelled k-n-o-w

Second,since it's his house,HE files Head Of Household,you don't need to file under the rules of Social Security.

Answer 7

FILE FOR BANKRUPTCY!!!!!!