From: Rensselaer , N.Y

Dear TaxMama,

My ex-wife sent me a 1 page form that says IRS Form 8332. No other form was with this.

I'd like to know what exactly this is. The child on this form is my adopted child and in college.

My ex is also remarried and broke the divorce agreement several times. I only get my kids 30 days out of the year.

Please tell me what this form means and what is she trying to do?

Thank you,

Michael

 

 

Dear Michael,

There's nothing sinister in that form.

In fact, under the terms of the new tax law, your ex-wife probably doesn't even need you to sign that anymore.

The purpose of that form is to assign the dependency exemption for your child to either her or you, depending on who signs it, waiving their rights.

All that does is make it clear to IRS that you two have come to an agreement about who is going to claim the exemption on their tax return.

What happens if your divorce agreement gives you the exemption and you refuse to sign this form - and you both claim your daughter?

Nothing special.

IRS will write each of you a nice letter asking you to prove your claim...and you'll get to duke it out with IRS.

What happens if you sign?

You don't get to claim your daughter as a dependent. You don't get to take the education credits if you're paying for her college.

You don't get to deduct her medical expenses... and a host of other things you don't get to use.

Based on the information you already gave me, I doubt you're getting any of those benefits anyway.

Have you talked your tax pro about this?

Best wishes,
Eva Rosenberg, MBA, EA