Denne Posted March 12, 2008 Report Share Posted March 12, 2008 I have a 2006 return for Michigan that is still not filed. The couple is divorcing and he lived in Indiana and she lived in Michigan, but tje husband prepared and filed the return as a joint return. He also filed the Indiana return, but refused to file the Michigan return. He said the address on the Michigan return MUST be his address since that is where the Federal and Indiana return were filed. He refuses to sign the return. There is a Michigan refund of several hundred dollars and the wife has lost her job and would like the refund. I also see where I made a small error in the allocation and need to prepare the return correctly. Personally....I am so tired of the wife calling and emailing me several times a day trying to figure out how to handle this. She has already paid me to prepare the Michigan return and seems to think I can make her husband become cooperative....ya right! How would you handle this couple or at least get that Michigan return filed..... Thanks! Quote Link to comment Share on other sites More sharing options...
Denne Posted March 12, 2008 Author Report Share Posted March 12, 2008 I forgot to add.... All of the income came from her earnings. His business showed a loss..... She should be able to get her taxes refunded....I hope just to her! Quote Link to comment Share on other sites More sharing options...
Redneck Posted March 12, 2008 Report Share Posted March 12, 2008 I forgot to add.... All of the income came from her earnings. His business showed a loss..... She should be able to get her taxes refunded....I hope just to her! Did husband file joint return without her compliance? Quote Link to comment Share on other sites More sharing options...
GeneInAlabama Posted March 13, 2008 Report Share Posted March 13, 2008 If she didn't sign the joint return, she can properly file her return as MFS. It will result in an automatic audit, but she can straighten it out then and he can pay the price for forging her name to the return. Of course she won't get her refund until that is cleared up which may be a year or two, but at least that is better than not getting it at all. Quote Link to comment Share on other sites More sharing options...
Denne Posted March 13, 2008 Author Report Share Posted March 13, 2008 She did sign the Federal return, since at that time she was in hopes of them staying together. Quote Link to comment Share on other sites More sharing options...
joelgilb Posted March 13, 2008 Report Share Posted March 13, 2008 Don't know about Michigan, but some States allow the State return to be filed MFS when the Fed is MFJ. If this is so in Michigan, tell her that you can not file a joint return without his cooperation and that this is the only alternative you see. Also, let her know your fees to keep badgering the hub to no avail are going to be excessive and that you want an additional retainer if she expect you to continue to go after him. Maybe this way you can get her to come to reason, or convince her to contact the hub herself to work it out. Joel Quote Link to comment Share on other sites More sharing options...
jainen Posted March 13, 2008 Report Share Posted March 13, 2008 >>She should be able to get her taxes refunded....I hope just to her!<< Hey, if that's really the way you feel, then you must immediately withdraw from this engagement. Her loving soulmate is also your client, and ethically you can't favor one to the disadvantage of your other paying client. Quote Link to comment Share on other sites More sharing options...
Denne Posted March 13, 2008 Author Report Share Posted March 13, 2008 He hasn't paid me a dime. He didn't work in Michigan and doesn't want to file this tax return. All I have had from him is a lack of cooperation with anything. I felt my services were already paid for and done, but then he refuses to sign the return so she can get her part of the money taken out of her paychecks. I would love to just withdraw and let her settle things in court. That might just be what will happen. I guess the lawyers will eat up the refund that way however.... What a mess....that I don't have time or energy for at this point. Quote Link to comment Share on other sites More sharing options...
jainen Posted March 13, 2008 Report Share Posted March 13, 2008 >>He hasn't paid me a dime<< I'm sorry, I misunderstood. I thought you did the federal for them. Well, then she alone is your client. Briefly document his refusal to cooperate; her lawyer will be able to use it. Quote Link to comment Share on other sites More sharing options...
joelgilb Posted March 13, 2008 Report Share Posted March 13, 2008 He hasn't paid me a dime. He didn't work in Michigan and doesn't want to file this tax return. All I have had from him is a lack of cooperation with anything. I felt my services were already paid for and done, but then he refuses to sign the return so she can get her part of the money taken out of her paychecks. I would love to just withdraw and let her settle things in court. That might just be what will happen. I guess the lawyers will eat up the refund that way however.... What a mess....that I don't have time or energy for at this point. Although, this is not what I would call top notch research, I just checked the instructions to the Michigan return and it does look like they require you to use the same status as the Federal return, unlike Illinois. So, apparently you need to file this return jointly. Your initial question indicates his problem was the address on the return not being his Indiana address. Is this his only sticking point? If so, just give in on the address, and let him know, that even though he didn't reside in Michigan, his decision to file jointly now obligates him to file jointly under the laws of Michigan. Maybe you can extradite him. lol And, get yourself out. Give her an accurate and completed return and let her know that you are not her attorney and that you engagement/job is limited to preparing the return. It is her responsibility to get his signature and file this return, not yours. You have gone above and beyond in contacting him and trying to do her job by trying to get him to sign it. And finally, as an attorney myself, I agree with the previous post, tell her to she will have to have her attorney deal with getting him to sign the return. Joel Quote Link to comment Share on other sites More sharing options...
lbbwest Posted March 13, 2008 Report Share Posted March 13, 2008 He filed the Indiana return MFJ? What did he do with her Michigan income???? (He can't take her & kids if any as MFJ and not list her income.) Are their children? Have you seen the Indiana return? I haven't looked it up for years, but it "used to be...." you COULD file a MFJ Federal and MFS Michigan, However, depending on the situation,....you will have to be very cautious regarding any of the MI credits. IF he file joint with her name on it, she is liable for any such filed returns until she proves otherwise. Again depending on your situation, you make be in the middle of a wicket that is sticky. Her wanting a refund as soon as possible, is common, but may indeed be costly DEPENDING. Find out all answers, check reciprocity rulings etc etc etc. I don't think you were paid enough, which is why I don't bill until AFTER the work is done. lbb Quote Link to comment Share on other sites More sharing options...
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