I earned 100% of the income reported on the MFJ return. Spouses defaulted student loans resulted in the tax offset. We have 3 children together, 2 are biologically mine and 1 is my stepchild.
2 questions. First, it is my understanding that when completing Part III, line 16, I am able to list 5 under the "allocated to injured spouse" section (b)(myself, spouse and 3 children) and have 0 for the "allocated to other spouse" as the "other spouse" did not have any income to report at all. Is this accurate?
Second, line 17, we had a child tax credit of $2450 on the joint return. Can I simply place that entire amount under "allocated to injured spouse" section (b) and place 0 under "allocated to other spouse" section (c)? Or it will it even matter since I have read that the IRS will calculate the % contribution from child care tax credits, based off a simple calculation that each of us filed a MFS return? On this point, I guess I am confused as to where I should place the $2450 to result in the greatest potential benefit, with regards to the IRS returning the largest portion of the tax offset. Thanks,
