Mom claimed me a dependent, but I wasn't really her dependent. HELP!?

Question

Facts:
- I have not lived at home since I was 18. My parents did not give me a living allowance. I paid for school through student loans.
- I turned 21 in March 2006.
- I was a full-time student until August 2006.
- I began working full-time in August 2006. (I made about $15,300 for the year. Long story short, my student job was through federal work study.)
- I got married in October 2006.

I filed (married/joint) and my mom filed (claimed me as a dependent) taxes for 2006.

The IRS sent both of us letters stating that we need to "get our story straight."

My mom is upset because now she owes something like $3,000 for claiming me as a dependent whereas I wasn't her dependent. Her accountant has suggested that I refile as married/separately... so I pay something like $1,000 and my mom can claim me as a dependent.

Does this situation sounds strange to you? I think her accountant doesn't know what she's doing. Recommendations?

My mom may or may not have known what she was doing. Please don't be hard on her! That's what the accountant is for...

My question is basically getting at the fact that her accountant didn't really do her job. Who is better off -- me refiling married/separate and my mom can claim me as a dependent (although this isn't really true) ~OR~ keeping my married/joint taxes the same (I didn't fudge anything) and she owes money?

Answer 1

Your mother is NOT entitled to claim you as a dependent if you were married. PERIOD. Even if you refiled as Married Filing Separately she could NOT claim you as a dependent due to your providing more than half of your onw support, and no longer living in her household. (And you can't do that anyway, even if you wanted to.)

Since you have already filed a joint return with your husband you can NOT amend to separate returns now unless your original return was fraudulently filed. It was not, so even if you wanted to break the law to help her you cannot. PERIOD!

Her "accountant" is being dishonest with both of you and what they are telling you may be against the law, i.e. he or she is telling you to BREAK THE LAW!

Tell your Mom that you're sorry to hear of her troubles but she has done it to herself by filing incorrectly and now must live with the consequences. (I'll wager she had the same talk with you when you were growing up. The tables have now turned.)

Then tell that dirtbag masquerading as an "accountant" that you are reporting him or her to the state Board of Accountancy and the IRS. Then pick up the phone and do just that. They are either grossly incompetent or downright dishonest. In either case, they need to find another line of work. Flipping burgers at Mickey Ds or greeting customers at Wally World come to mind.

Then send the IRS a copy of your marriage license. That will close the books on the case for you -- and probably for your mother's case as well. She'll have to set up a payment plan with the IRS but it can stretch out for a couple of years if her income is limited so the payments won't break her budget.

By the way. It's highly unlikely that your mother got $3,000 in benefit from claiming you as a dependent unless she also improperly claimed the Earned Income Credit. This fraud compounds the prolblem she has if that's the case -- and is further evidence of complicity and/or dishonesty on the part of this "accountant" idiot.

If you decide to "help" her, give her $1,000 towards her tax debt. But I'm guessing that if you got in that halfwit accountant's face, they would STFU and cover your mother's tax debt in full out of their pocket. That would be cheaper than their being prosecuted for tax evasion or misues of fiduciary position. Then when they're done with that, drop the dime anyway.

Answer 2

If what you say is true you can't file married filing seperate so you will owe $1,000 so you mom won't owe $3,000. This would still be wrong and still fraud! A married persons right to file jointly with their spouse is more important than your parents right to claim you as a dependent. The only way you could file seperatly from you husband so your mom could claim you would be if neither you or your husband would have a tax liability. Since you made 18K you have a tax liability.


If neither of you acts then both return go into exam. The examiner will ask both of you to prove your case. When your mom can't prove you were her dependent she will have to pay back the tax refund she received that she shouldn't have plus penalty and interst.

From what you describe it doesn't sound like you were your mothers dependent. See table 5 in pub 501 Even if you were single it is doubtful she could claim you. If you provided more than half your own support for the year then you are not a qualifying child, since you gross income was more than 3,300 (2006) you are not a qualifying relative, and thus not a dependent.

Answer 3

First of all, there are a number of other reasons why your mom can't claim you as a dependent, not just that you filed a joint return. Even if you hadn't filed a joint return, since you didn't live with your mom for over half the year in 2006, and you made over $3300, she couldn't claim you legally anyway.

Secondly, I don't know where this "accountant" got her education, but once you file a joint return, you are not allowed by IRS rules to amend a return from joint to filing separately, so you couldn't do that even if you wanted to.

Third - too bad your mom is upset at having to pay - but she tried to cheat on her taxes, got caught, and now has to pay back what she was trying to essentially steal.

Respond to your IRS letter with the facts, that you haven't lived at home since 2003 or whenever you moved out, that you made over $15,000 in 2006, and that you were married that year and filed a joint return. You have done nothing wrong, and they'll agree with you that she can't claim you. She tried to commit tax fraud - that's her problem, not yours.

Answer 4

Your mom could be in a world of deep stuff here if y'all don't get on this right away.

If you hadn't been married at the time then mom could have claimed you since you were under the age limit and a student. The fact that you were married removes you from her household - even if you file separately, she's got no standing to claim you.

Your solution right now is for both of you (and your husband because he's on your return) to go to a reputable accountant (preferably one with CPA after his name) and spill all the beans to him. Bring in all of your tax data and the IRS letters.

If your mom thinks a $3000 underpayment is bad - she hasn't seen anything if they decide to nail her for tax fraud. A good CPA can make this all go away, but it's not going to be free.

Answer 5

LOL I was right you were a full-time student under age 24. If you were not married, your mother may have been able to claim you.

Your story doesn't make sense. Regardless of whether you file a MFS or MFJ return, that will not allow your mother to claim you as a dependent.

I agree with the IRS letter, you need to get your story straight.

You have asked this question numerous times and then deleted everyone's answers to you. Something strange is going on indeed.

Answer 6

Who sign your mom's tax return? Your mom did. Did her accountant sign her return as a paid tax preparer? If he did, then he or she has a mess and should be fined by the IRS. So why should you pay anything? Tell her accountant to take a flying leap. Do not change your return. Your mom needs to correct her returns and pay up. If you want to help her and keep things livable for you and your Mom help her pay her tax bill. Your mom got what she deserves. Oh by the way, do not ignore that IRS letter that you got. Answer their questions. If you have state tax returns, I bet your mom claim you on them as well. If she did, she needs to correct her state returns.

Answer 7

Tell the truth. Tell your mother that paying the tax she rightfully owes is far cheaper than getting a lawyer to defend her on a charge of federal tax fraud. She can always tell the IRS she misunderstood the rules and withdraw the exemption for you.

Answer 8

if she only receives SS, more than likely there was no income tax withheld so there would be nothing to refund regardless of her eligibility to claim you as a single person, claiming only her exemption, her non taxable income is $9350 if she received more than that and calculating the amount of the SS that would be taxable to her, the possibility of claiming another exemption would reduce her income tax to claim you as a qualifying relative you had to reside in her household the ENTIRE year, not earn $3650, she provided more than 50% of your support and you cannot be claimed on the return of anyone else

Answer 9

That was a shady, dumbass, sneaky move on your mothers part. I am quite disgusted.
I wouldn't care that your mother is upset dear. I wouldn't buy that poor me crap.
On principle alone, file jointly with your hubby, or married/separate. Your husband must be PISSED!

Answer 10

Your mother needs to refile immediately. She was knowingly cheating on her taxes. If she doesn't make this right quickly, she could be in a lot of legal trouble.

Ever hear of Al Capone?