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Upon the divorce of my ex we did a property settlement contract that was notarized and sign both parties. In this agreement he was to cover all taxes for both business that he wanted to continue to run. It also states he is to cover all collections cost, fees and penalties if any shall fall back on me. He has and continues to threat that he is to 1099 for the taxes on the businesses. He can not prove nor have I gained any moneys directly to me. Can he still 1099 for any of his earrings for 2014? 

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It would be tax fraud and you can look at the following IRS page for the potential penalties:

 

http://www.irs.gov/uac/Related-Statutes-and-Penalties---General-Fraud

 

I've got to ask, though, since you are divorced why are you still talking to him and letting him push your buttons? Apparently he knows he gets a rise out of you every time he does it.

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Upon the divorce of my ex we did a property settlement contract that was notarized and sign both parties. In this agreement he was to cover all taxes for both business that he wanted to continue to run. It also states he is to cover all collections cost, fees and penalties if any shall fall back on me. He has and continues to threat that he is to 1099 for the taxes on the businesses. He can not prove nor have I gained any moneys directly to me. Can he still 1099 for any of his earrings for 2014? 

 

There is not enough information here to know what the tax situation is. You divorced him. When was the divorce final? In what state did you reside at the time of the divorce? During the marriage, were you an owner of either business? As a result of the divorce, do you own any part of either business? During 2014, did you do any work for the business for which you were compensated in any way? 

 

I assume when you say that he threatens to give you a 1099 that you mean he threatens to issue to you a Form 1099-MISC showing earnings from self-employment. If you received $600 or more from the businesses for services you provided to him then the law requires him to issue you a Form 1099-MISC. If he issues to you a Form 1099-MISC misrepresenting that you earned money you did not earn that is potentially tax fraud if he attempts to deduct those amounts on his return as compensation paid to you. He’d be foolish to do it. 

 

I suggest you just ignore the threats. He’s likely full of hot air, and even if he does issue the Form 1099-MISC, you are not obligated to report any money you did not actually receive. You won't have to pay tax on earnings he never paid you.

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No I never personally received any funds out of either business we co/owned most of 2014. However his claim is the funds were used by him to pay himself in which contributed to  our the house hold. When I wrote the contract up it clear stated all businesses would be his tax responsibility as I knew all the money that was supposed to be held back for taxes was being spent by him for his new girlfriend. I watched both business accounts diminish quickly. I wanted to make sure I was not held responsible for the tax liability that he was creating is why I set up the contract. I did have a little help for a attorney when writing it however I did not have the funds at the time to him fully execute the contract. The only reason I have entertained his threats is I currently get monthly payments from him as a buyout agreement on both businesses that started 2015 and I know I will have to claim these funds on 2015 taxes.  It basically boils down to that he doesn't want to pay the monthly payments and is trying to find ways to get out of paying it.Thank you all for your help on this matter you have all relieved my mind that he can not hold this against me.  

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He has and continues to threat that he is to 1099 for the taxes on the businesses. . . .  Can he still 1099 for any of his earrings for 2014? 

 

Your follow up post indicates that this means that he is threatening to submit an IRS form 1099 that alleges that you earned money from the businesses you mentioned.

 

Obviously, he can do that.  Whether or not doing so would be proper is something you appear to deny, but we have no way of independently knowing.

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