


Ask the community...
I'm in a very similar situation and have been researching this extensively! Just wanted to confirm what others have said - yes, you can absolutely both file as Head of Household from the same address. The IRS doesn't have any rule limiting HOH status by address. The key is that you each need to independently meet the three main requirements: 1. Be unmarried (or considered unmarried) at the end of the tax year ā 2. Pay more than half the cost of keeping up a home ā 3. Have a qualifying person (your children) live with you for more than half the year ā Since you're splitting household expenses and each claiming a different child, you should be fine. Just make sure to keep good records of how you divide expenses in case you ever need to justify your filing status. One tip: consider documenting your expense split in writing (even just a simple spreadsheet) showing who pays what percentage of rent, utilities, groceries, etc. This way if there are ever questions, you can clearly show that you each pay more than 50% of the household maintenance costs. Good luck with your filing! The HOH status will definitely save you both money compared to filing as single.
This is such helpful information! I'm new to this community and dealing with a similar situation. Quick question - when you mention keeping records of expense splits, do you think it's better to have a formal written agreement between partners about who pays what, or is a simple spreadsheet tracking sufficient? I want to make sure I'm covering all my bases in case the IRS has questions later. Thanks for sharing your research!
A simple spreadsheet should be perfectly adequate for IRS purposes! You don't need a formal legal agreement between you and your partner. What matters is having clear documentation that shows how household expenses are divided and that each of you pays more than 50% of the costs for maintaining the home where you and your qualifying dependent live. I'd recommend tracking monthly expenses like rent/mortgage, utilities, groceries, household supplies, repairs, and any other costs that go toward keeping up the home. Make sure to save receipts and bank statements that support your records. The key is being able to demonstrate that your expense split supports both of you claiming HOH status if the IRS ever asks. Also, remember that "more than half" is calculated based on the total household maintenance costs, not just your personal expenses. So if total household costs are $3000/month and you pay $1600 while your partner pays $1400, you both meet the "more than half" requirement since you're each supporting the household for yourselves and your respective qualifying dependents.
Just wanted to jump in here as someone who went through this exact situation last year! You're absolutely right to look into both filing as Head of Household - it can save you a significant amount compared to filing as single. The good news is that the IRS does allow two people at the same address to both claim HOH status, as long as you each meet the requirements independently. Since you have two children and are splitting household responsibilities, you should be fine. One thing I'd recommend is being very clear about how you're dividing expenses. Even though you contribute "equally," make sure you can each show that you're paying more than half of the household costs for yourself and your qualifying dependent. This might mean one of you pays a bit more toward rent while the other covers more utilities and groceries - just ensure the split works out mathematically. Also, keep detailed records! Bank statements, receipts, rent payments, utility bills, etc. The IRS rarely questions HOH status, but if they do, you'll want to be able to clearly demonstrate your expense split and that each child primarily lives with their respective parent. The tax savings from HOH vs. single status is definitely worth getting this right. You're smart to research it thoroughly before filing!
Thank you so much for sharing your experience! This is exactly the kind of real-world advice I was hoping to find. I'm definitely feeling more confident about both of us filing as HOH now that I've seen so many people confirm it's allowed. Your point about being "very clear" with expense division is really helpful. Right now we do split things pretty evenly, but I think I need to sit down and actually calculate the percentages to make sure we're both over that 50% threshold. Would you recommend documenting this split somehow, or is it enough to just track expenses as we go? Also, when you mention keeping bank statements and receipts, how far back should I keep records? Just for the current tax year, or is it better to maintain several years' worth in case of future questions? Thanks again for the practical advice - it's so much more reassuring hearing from someone who actually went through this process successfully!
You need to look into the "Financial Disability" exception to the 3-year refund statute. Under Internal Revenue Code 6511(h), the statute of limitations can be suspended during periods when a taxpayer is unable to manage financial affairs due to a medical condition - and death certainly qualifies. You'll need to file Form 1040X for the unfiled years with "Financial Disability" noted at the top, along with documentation of your father's date of death and an explanation. In my experience, you'll want to attach medical records showing any illness leading up to death if applicable.
I went through something very similar when my father passed in 2021. The key thing that helped me was understanding that the IRS has different rules for deceased taxpayers, especially when notices were sent after death. First, definitely file those 2020 and 2021 returns immediately, even if you're past the 3-year window. Include Form 1310 with each return and a detailed cover letter explaining that your father died in November 2022 and you only recently discovered these unfiled returns during estate administration. For the interest abatement, file Form 843 specifically citing IRC 6404(e)(1) - reasonable cause due to death. The IRS often grants these when they can verify notices were sent to a deceased person's address. Most importantly, request that any refunds from 2020/2021 be applied directly to the 2019 balance rather than issued as checks. Even if the refunds are technically "expired," the IRS can often still use them to offset other tax debts when there are special circumstances like death. I also recommend calling the Practitioner Priority Service line if you have a POA on file - they're more equipped to handle complex estate situations than the regular customer service lines. Document everything in writing and keep copies of all correspondence. The process took about 6 months in my case, but we ultimately got the balances resolved and most of the interest abated. Don't let them tell you there's nothing that can be done - deceased taxpayer cases have more flexibility than they initially let on.
I just want to point out that for the 2025 filing season (for 2024 tax year), there's a slightly higher threshold for long-term capital gains tax rates. For single filers, the 0% rate applies up to $47,025 of taxable income and the 15% rate applies up to $518,900. So depending on your income level, this could affect how you fill out the Capital Gain Tax Worksheet. The Qualified Dividends and Capital Gain Tax Worksheet is critical because if you don't use it, you might massively overpay your taxes. FreeFileFillableForms won't catch this - it just takes whatever numbers you input.
Those thresholds don't sound right. I thought the capital gains brackets were lower than that. Can anyone confirm these numbers?
Those numbers look correct for the 2024 tax year (2025 filing season). The 0% long-term capital gains rate does apply up to $47,025 for single filers, and the 15% rate goes up to $518,900. These thresholds are adjusted annually for inflation. You can verify these on the IRS website under Publication 550 or the current year's tax tables. It's definitely worth double-checking since these brackets change each year, but Keisha's numbers are accurate for returns being filed now.
Just to add another perspective here - I've been using FreeFileFillableForms for several years with investment income, and the key thing to remember is that it's really just a digital version of the paper forms. You're still responsible for all the calculations that would normally be done on supporting worksheets. For the Qualified Dividends and Capital Gain Tax Worksheet specifically, I usually download the PDF from irs.gov, work through it step by step, and keep a copy with my tax records even though it doesn't get submitted. The most important thing is making sure you use the correct tax year's version - don't accidentally grab last year's worksheet since the income thresholds and rates change annually. One tip that's helped me: after completing the worksheet, I always cross-reference my final tax calculation with the tax tables to make sure everything looks reasonable. FreeFileFillableForms won't catch computational errors in your supporting worksheets, so that sanity check has saved me from mistakes more than once.
This is really helpful advice! I'm new to investment income and wasn't sure about keeping copies of worksheets that don't get submitted. Quick question - when you do that sanity check against the tax tables, are you comparing your total tax amount or just the capital gains portion? Also, do you have any recommendations for organizing all these supporting documents? I feel like I'm going to end up with a mess of PDFs and calculations that I won't be able to make sense of later.
Wait, I'm confused about the damages part. So if I get $50k for the land and $30k for "damages" are those taxed differently? My city is taking part of my frontage for a sidewalk project and their offer has these two separate amounts.
In my experience (went through this in 2022), the damages portion is often not immediately taxable if it's compensation for reduction in value to your remaining property. It essentially reduces your basis in the remaining property. BUT if damages are for lost business income, inconvenience, etc., those could be fully taxable.
The key distinction for damages in eminent domain cases is *what* the damages are compensating for. If the $30k is "severance damages" - meaning compensation for how the taking decreases the value of your remaining property - that's typically not immediately taxable. Instead, it reduces your basis in the remaining property. However, if any portion of the damages is for things like: - Lost rental income during construction - Business interruption costs - Temporary relocation expenses - Attorney fees (sometimes) Those portions would likely be taxable income. Make sure your settlement agreement clearly specifies what each payment is for. The IRS looks at the actual purpose of each payment, not just how it's labeled. For a sidewalk project affecting frontage, most damages would probably be severance damages for decreased property value/access, which should reduce your basis rather than create immediate taxable income. Document everything carefully and consider getting the settlement reviewed before signing - the specific language used can make a real difference in tax treatment.
This is really helpful clarification! I'm curious about the attorney fees part - are those typically paid by the government as part of the settlement or do property owners usually have to pay their own legal costs? And if the government does cover attorney fees as part of the settlement, would that portion be considered taxable income to the property owner?
Lucy Taylor
I'm new to this community but currently going through this exact same 8822b processing delay - submitted mine 5 weeks ago and starting to get concerned about the lack of any confirmation. This thread has been absolutely incredible! Reading through everyone's real experiences has provided more practical, actionable advice than anything I could find through official IRS channels. The systematic approach that's emerged from multiple success stories here is really compelling: check your business transcript online first to confirm the old address is still showing, then send a targeted follow-up letter using specific language requesting an updated transcript be mailed to your new address (including certified mail tracking info and phone number). What's particularly encouraging is seeing recent success stories like Cameron's that confirm this method actually works within a reasonable timeframe. The key insight about asking for a specific action (mail the transcript) rather than just requesting status updates seems to make a real difference in how the IRS processes these requests. I'm planning to start with Hunter's suggestion about requesting the Account Transcript specifically during off-peak hours, then move to the follow-up letter approach if my old address is still on file. It's unfortunate we have to crowdsource solutions for something so straightforward, but I'm grateful for this community sharing what actually gets results! Will definitely update with my experience to help others in the same situation.
0 coins
Grace Durand
ā¢Welcome to the community, Lucy! I'm also relatively new here but have been following this thread closely as I'm dealing with my own 8822b processing delays (submitted 4 weeks ago). Like you, I've found this community-generated knowledge base to be infinitely more helpful than anything on the official IRS website. Your summary of the systematic approach is spot-on - it's amazing how a clear methodology has emerged from everyone's shared experiences. The Account Transcript tip from Hunter is particularly valuable since I also had trouble getting clear address information from the general business transcript. I'm planning to wait one more week before starting the transcript check process, but reading all these success stories has given me confidence that there's actually a reliable path forward rather than just endless waiting and hoping. It's really encouraging to see how this community has collectively figured out what actually works versus what the IRS claims should work. Looking forward to hearing how your approach goes - hopefully you'll have another success story to add to this thread soon!
0 coins
Dmitry Popov
I'm new to this community but currently dealing with the exact same 8822b processing nightmare - submitted mine about 6 weeks ago with absolutely no confirmation from the IRS. This thread has been incredibly valuable! Reading through everyone's real experiences and systematic approaches has given me more actionable solutions than hours of searching the official IRS website. The combination strategy that's emerged from multiple success stories here makes perfect sense: first verify your old address is still on file by checking your business transcript online (using Hunter's tip about requesting the Account Transcript specifically during off-peak hours), then send a targeted follow-up letter using Caleb's proven template requesting an updated transcript be mailed to your new address. What really stands out to me is how the specific language matters - asking for a concrete action (mail the transcript) rather than vague status inquiries seems to get much better results. Cameron's recent success story following this exact method is really encouraging and shows this isn't just theoretical advice. I'm planning to start the transcript verification process this weekend and then send the follow-up letter if needed. It's frustrating that we have to crowdsource workarounds for something so basic, but I'm grateful for this community sharing what actually works. Will definitely report back with my results to help others in the same boat!
0 coins