Child support money is the factored amount of money a non-custodial parent could have normally spent on his/her child(ren) while living with them. The government has refused to let any parent off the hook for abandoning their childcare responsibilities to the other parent. The amount of money they require the child support parents to pay from their gross has gotten then scrambling for help.

Not until 2006 tax year, child support could not be deductible in any way both in the Federal or State taxes except through court ordered dependency deduction agreement. This has irked many parents and has been a nightmare for these spouses who often have 17 to 25% of their gross (before tax) income chopped off for child support. They contend that the child support payment is often misused and abused by the receiving parent. They want to get some relief for these payments.

The federal government has not bulged, but the state has answered the stress-call of these child support payers under NON-CUSTODIAL EARNED INCOME CREDIT. Of course, nothing from the government comes easy. To get this non-custodial earned income credit, there is a long string attached:

1. You must reside in New York State.

2. You must be over 18 years

3. You must make less than $32,001

4. Your social security must be valid for employment.

5. You must not file Married Filling Separate

6. You cannot file form 2555-EZ relating to foreign income

7. Your investment income must be less than $2,800

8. Your child support payment must be up to date.

9.The above is subject to verification. If your payment is taken automatically from your income through support collection and you meet other criteria, you automatically qualify. Otherwise, sorry! Join the bandwagon of those non-qualifying non-custodial parents until the government gives a total relief. Meanwhile call, The Tax Wizard. There could be an alternate light at the end of that tunnel.

Contributed by Mac Panther – “The Tax Wizard”- is a national tax consultant and IRS audit consultant for almost 20 years. If IRS is bugging you, you need MAC PANTHER.

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