Best comment in the thread:
I am an attorney, licensed in Texas. I have experience with Family Law (divorces) and Tax Matters (the IRS) (8 years practicing, half w/ divorces and half on federal tax issues). Your situation may result in a whole-lotta-nothing, depending on the amicability of the two of you. I am not your attorney and the best advice you'll get in here is: go meet (alone) with a family law attorney and pick their brain about what your actual goals are. If you have an understanding of your goals you'll want to explicitly ask the attorney about their experience with common-law marriage divorces and what they recommend you do. If you are highly motivated to save money, use the State Bar of Texas attorney referral service to contact a local attorney who practices "family law." Direct Link
From what you have stated, you committed Tax Fraud. You and your fiancé filed a federal tax return as married ("married filing jointly" or MFJ) when you do(did) not consider yourselves married; you filed as 'married' in order to claim a greater tax credit when you did not actually believe you were married. That is fraud. The IRS is virtually never going to know this unless you or your partner tell them. It would be monumentally stupid for either of you to bring this to the attention of the IRS. Just file your next tax return correctly.
- The IRS does not go checking on marriage certificates 'just because'
- You should be filing as "Single" or potentially "Head of Household" based on your post
- You should consult with a CPA or somebody better than Jane Doe over at H&R block
- If the H&R REP actually recommended you file as 'married' when she knew you are not, complain to their manager
- Don't file federal tax returns as married when you don't consider yourselves as married. (don't commit tax fraud)
Common-Law-Marriage. The tax return could be used to argue that you are Common Law Married (CLM). CLM is not a status that just 'happens' because you took some actions. It's a position that 99.999% of the time is brought up by a jilted partner or a child of a dead person. It gets brought up when (a) there is a dispute about property, and (b) somebody claims a CLM existed, to (c) get a more desirable settlement (division of assets or to claim assets in a dead person's estate). If you two work together amicably, CLM shouldn't be an issue. If you and your fiancé (ex fiancé?) are able to divide your assets by agreement then you can just go your separate ways. Sell the home, split any proceeds 50/50, continue living life peacefully. If you never considered yourselves as married and don't try to claim that you were, the law will treat you as unmarried. That is what you should take from the internet, if you want more details and you really need to know about the exceptions and fringe cases --> talk to an attorney, who you paid money to, for advice.
Back to H&R block, there is no such thing as a "separation form" for Texas or for the IRS. That sounds like more bad advice. What she should have told you is to go and talk to a Texas family law attorney. The way to tell the IRS you are not married is to file a return that claims you are not married. In Texas, if nobody asserts you two were married then you don't need a 'separation anything.' H&R block may have a 'separation form' but that's not really helpful to your actual concerns.
- stop taking legal advice from people who are not qualified to give it
- go talk to an attorney in real life
"The lawyer said the fact that it was H&R block that filed for us makes no difference since we both signed the return."
- correct. you are not relieved of the tax fraud because it was somebody else's idea.
- In Texas, CLM will should only come up if your man tries to claim CLM.
" Im curious if we can annul even though its been 2 years?"
- probably not. probably don't need to. literally nobody that matters is claiming CLM. It's a potential issue, but it has not in fact been legally established in Texas.
" My fiance (husband?) seems set on making sure his debt doesnt become mine if we went the divorce route."
- if you consult with your own attorney he can advise you further.
- realistically, there is nothing in your post that should give creditors of your partner a reason to go after you. Don't give them one. They do not have access to your private tax returns unless you provide it.
" If we agree to leave with what we came in with, can that happen or does it have to be 50/50 everything?"
- yes, if you can be amicable about it.
You can make a contract between the two of you that says you are not married and then lay out terms for the renting of the home you are unable to sell. You should get separate attorneys to hash it out to best protect yourselves.
TLDRs:
- If you want to break up: Sign a Contract with former partner that says you were never married, divide assets amicably. File your tax returns correctly in the future. If you can't be amicable --> attorney.
- If you want to stay together, file your returns correctly and get more counselling. I like tmillie2262's comment. a Postnuptial will help clarify a lot of your concerns.
https://www.reddit.com/r/legaladvice/comments/1sxdw89/i_26f_called_off_my_wedding_with_fiancé_27m_due/
Best comment in the thread: I am an attorney, licensed in Texas. I have experience with Family Law (divorces) and Tax Matters (the IRS) (8 years practicing, half w/ divorces and half on federal tax issues). Your situation may result in a whole-lotta-nothing, depending on the amicability of the two of you. I am not your attorney and the best advice you'll get in here is: go meet (alone) with a family law attorney and pick their brain about what your actual goals are. If you have an understanding of your goals you'll want to explicitly ask the attorney about their experience with common-law marriage divorces and what they recommend you do. If you are highly motivated to save money, use the State Bar of Texas attorney referral service to contact a local attorney who practices "family law." Direct Link
From what you have stated, you committed Tax Fraud. You and your fiancé filed a federal tax return as married ("married filing jointly" or MFJ) when you do(did) not consider yourselves married; you filed as 'married' in order to claim a greater tax credit when you did not actually believe you were married. That is fraud. The IRS is virtually never going to know this unless you or your partner tell them. It would be monumentally stupid for either of you to bring this to the attention of the IRS. Just file your next tax return correctly.
- The IRS does not go checking on marriage certificates 'just because'
- You should be filing as "Single" or potentially "Head of Household" based on your post
- You should consult with a CPA or somebody better than Jane Doe over at H&R block
- If the H&R REP actually recommended you file as 'married' when she knew you are not, complain to their manager
- Don't file federal tax returns as married when you don't consider yourselves as married. (don't commit tax fraud)
Common-Law-Marriage. The tax return could be used to argue that you are Common Law Married (CLM). CLM is not a status that just 'happens' because you took some actions. It's a position that 99.999% of the time is brought up by a jilted partner or a child of a dead person. It gets brought up when (a) there is a dispute about property, and (b) somebody claims a CLM existed, to (c) get a more desirable settlement (division of assets or to claim assets in a dead person's estate). If you two work together amicably, CLM shouldn't be an issue. If you and your fiancé (ex fiancé?) are able to divide your assets by agreement then you can just go your separate ways. Sell the home, split any proceeds 50/50, continue living life peacefully. If you never considered yourselves as married and don't try to claim that you were, the law will treat you as unmarried. That is what you should take from the internet, if you want more details and you really need to know about the exceptions and fringe cases --> talk to an attorney, who you paid money to, for advice.
Back to H&R block, there is no such thing as a "separation form" for Texas or for the IRS. That sounds like more bad advice. What she should have told you is to go and talk to a Texas family law attorney. The way to tell the IRS you are not married is to file a return that claims you are not married. In Texas, if nobody asserts you two were married then you don't need a 'separation anything.' H&R block may have a 'separation form' but that's not really helpful to your actual concerns.
- stop taking legal advice from people who are not qualified to give it
- go talk to an attorney in real life
"The lawyer said the fact that it was H&R block that filed for us makes no difference since we both signed the return."
- correct. you are not relieved of the tax fraud because it was somebody else's idea.
- In Texas, CLM will should only come up if your man tries to claim CLM.
" Im curious if we can annul even though its been 2 years?"
- probably not. probably don't need to. literally nobody that matters is claiming CLM. It's a potential issue, but it has not in fact been legally established in Texas.
" My fiance (husband?) seems set on making sure his debt doesnt become mine if we went the divorce route."
- if you consult with your own attorney he can advise you further.
- realistically, there is nothing in your post that should give creditors of your partner a reason to go after you. Don't give them one. They do not have access to your private tax returns unless you provide it.
" If we agree to leave with what we came in with, can that happen or does it have to be 50/50 everything?"
- yes, if you can be amicable about it.
You can make a contract between the two of you that says you are not married and then lay out terms for the renting of the home you are unable to sell. You should get separate attorneys to hash it out to best protect yourselves.
TLDRs:
- If you want to break up: Sign a Contract with former partner that says you were never married, divide assets amicably. File your tax returns correctly in the future. If you can't be amicable --> attorney.
- If you want to stay together, file your returns correctly and get more counselling. I like tmillie2262's comment. a Postnuptial will help clarify a lot of your concerns.