Should you marry someone with a lot of debt?

Should you marry someone with a lot of debt?

When deciding whether to pop the question ― or agree to a proposal ― it’s important to consider how debt can alter the relationship. From a legal standpoint, bringing debt into a marriage doesn’t mean the other spouse becomes liable for it. That remains the responsibility of the person who accumulated it.

What happens if you marry someone who has debt?

In community property states, you are not responsible for most of your spouse’s debt incurred before marriage. However, the IRS says debt taken on by either spouse after the wedding is automatically a shared debt. Creditors can go after a couple’s joint assets to pay an individual’s debt.

What happens if you marry someone who owes back taxes?

If your spouse incurred tax debt from a previous income tax filing before you were married, you are not liable. However, if you file jointly then any tax refund that you receive may be intercepted to pay off part of the debt. Your spouse cannot receive money back from the IRS until they pay the agency what they owe.

Can joint tax refund be garnished?

Creditor Garnishments When you file a joint tax return, there is no way for creditors to distinguish which portion of the refund belongs to you and which to your spouse. If your spouse has an outstanding judgment against him and the creditor has a court order to garnish wages, your entire tax refund may be garnished.

How do I know if the IRS will garnish my refund?

Call the FMS at 1-to find out if your refund was reduced because of an offset. Call the IRS Taxpayer Advocate Service at 1-(or visit www.irs.gov/advocate) if you feel your refund was reduced in error. The service is free.

Who can garnish my federal tax refund?

Federal law allows only state and federal government agencies (not individual or private creditors) to take your refund as payment toward a debt.

Will I get refund if I owe IRS?

If your refund exceeds your total balance due on all outstanding tax liabilities including accruals, you’ll receive a refund of the excess unless you owe certain other past-due amounts, such as state income tax, child support, a student loan, or other federal nontax obligations which are offset against any refund.

Will my stimulus check be garnished if I owe child support?

Your first- or second-round stimulus check couldn’t be taken away to pay back taxes or other government debts you owe. Second-round stimulus checks couldn’t be garnished to pay child support arrears or money owed to private creditors or debt collectors, either.

Will I get a stimulus check if I didn’t file taxes in 2020?

Yes, but you still must file your 2020 taxes. The IRS has stated that it will not garnish stimulus check payments for back taxes. Thus, you are legally entitled to the money if you meet the eligibility requirements.

Who gets a Cares Act stimulus check?

Individuals who reported adjusted gross income (AGI) of $75,000 or less on their 2019 tax returns will receive the full $600 ($150,000 or less AGI for couples filing jointly; $112,500 or less for heads of household).

How do I know if I qualify for a stimulus check?

Call the IRS toll-free stimulus information line: The legislation will give single adults who reported adjusted gross income of $75,000 or less on their 2019 tax returns a one-time check for $1,200. Married couples who filed jointly will receive $2,400.