Renounced 8332?

Feb 08, 2007 4 Replies

This is a new one one on me (well, most tax situtations are new ones on me :): Client is a divorced dad; the mom had physical custody of the kids through most of 2006. She released the tax benefits of the kids to him with a signed (paper) 8332 for 2006. He went ahead and filed accordingly as single + claiming all of the kids on his taxes. Then they had some sort of falling-out and SHE claimed the kids on HER taxes. Naturally, her e-filed return was rejected (his got in first and the dependents were already claimed) and she is as mad as a wet hen. She has since filed the same return on paper via snail mail. She has the superior claim on the kids, and he has her signature on the 8332 releasing that claim for 2006. Which will prevail when the IRS wades in to sort this out?



-- John D. Goulden



Moderator: Someone needs to advise the ex-wife that she is looking at penalties and interest is she continues. A signed 8332 beats a Royal Straight Flush.



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Listen to our esteemed moderator. You won't ever get better odds than that.

As the moderator says, she signed the 8332. She then gave up her claim.

I believe we discussed this issue within the last two years. Form 8332 can be revoked if BOTH taxpayers agree. Otherwise, the exemption goes to the noncustodial parent with the signed 8332 from the custodial parent.

-- Alan

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The moderator is correct. The holder of a valid 8332 will get the dependency deductions.

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