Married - In another Country

[geekgirldany]

I wanted to ask for some help on this before I consider taking on this client.

Received an email today from a person who says they were married in Caymon Isle in 2005. They were suppose to make it legal within a 3-4 month time frame in the US. They never did and just realized it. Since the marriage they have been doing MFJ filing status. Now since they have just found out they are really not married for US purposes, they are wanting advice on how to file for 2012. They do have a child together.

First, I have been doing some research on the internet and I've found on some sites it says you have to register with the county you live in and others say the US automatically recognizes it because there is a marriage certificate.

So, they asked if they should still file MFJ but other questions deal with filing single but allowing the wife to claim EIC because she made less.

If the above is true, how would this be handled?

My thoughts is if it is not legal in the US then they would have to amend prior years returns because they filed MFJ. On the Dependent, EIC, tax credits end of things the tie breaker rules would apply and the person with the highest AGI would claim the child.

Would appreciate any thoughts. I am very hesitant with taking them on because it does not sound right.

[JohnH]

I think you are wise in being hesitant to take them as a client. Sounds too much like someone who is trying to game the system. If they came to me with this story I'd tell them their situation is too complicated and outside my area of expertise.

[Traveling EA]

A good friend of mine got married in the Carribean as well. He did have to register his marriage with the county where he lived in Wisconsin in order to make it legal here. His wife was on him for quite some time until she was able to drag him to get the marriage registered here.

[Gary]

Common Law

If they have considered themselves married since 2005, isn't this a common law marriage, as long as the state recognizes it?

[BP.]

Since the marriage they have been doing MFJ filing status.

The may meet the definition of common law marriage, if it exists in the state in question.

other questions deal with filing single but allowing the wife to claim EIC because she made less.

Red flag...starting to sound like they are working you.

On the Dependent, EIC, tax credits end of things the tie breaker rules would apply and the person with the highest AGI would claim the child.

Not correct. Revisit rules. They can choose, if eligible.

it does not sound right.

Then heed that voice.

[geekgirldany]

Thank you all for commenting.

Common law marriage is not recognized in Georgia. With the questions on EIC and other credits it sounds as though they are trying to find a way to get the big refund.

BP you are right on the EIC... read it wrong. It says:

If they cannot agree on who claims the child as a qualifying child, and more than one person claims tax benefits using the same child, the tiebreaker rule explained below applies.

I misread it.

Thank you all again for posting. I am finding myself having to weed more people out in regards to preparing returns. Seems like I have had many more calls on EIC returns this year than normal.

[Traveling EA]

EIC Returns

Maybe you are getting more EIC returns, or inquiries, this year, since there are many tax preparers, such as myself, that don't want to do some of the EIC returns, due to the auditing the IRS wants us, as preparers to do. I do 3 EIC returns, & would have to think long and hard to get another one. EIC should come off the federal income tax return and go to the welfare system where it belongs.