Sign up for our FREE Monthly Email Newsletter
In addition to keeping in the financial know, you may be interested in checking your credit score and report.
¹The credit scores provided under the offers described here use the Equifax Credit Score, which is a proprietary credit model developed by Equifax. The Equifax Credit Score and 3-Bureau scores are each based on the Equifax Credit Score model, but calculated using the information in your Equifax, Experian and TransUnion credit files. The Equifax Credit Score is intended for your own educational use. It is also commercially available to third parties along with numerous other credit scores and models in the marketplace. Please keep in mind third parties are likely to use a different score when evaluating your creditworthiness. Also, third parties will take into consideration items other than your credit score or information found in your credit file, such as your income.
²The Automatic Fraud Alert feature is made available to consumers by Equifax Information Services LLC and fulfilled on its behalf by Equifax Consumer Services LLC.
³Equifax Credit Report Control™ is only available while you have a current subscription to Equifax Complete Premier. Locking your credit file with Equifax Credit Report Control will prevent access to your Equifax credit file by certain third parties, such as credit grantors or other companies and agencies. Credit Report Control will not prevent access to your credit file at any other credit reporting agency, and will not prevent access to your Equifax credit file by companies like Equifax Personal Solutions which provide you with access to your credit report or credit score or monitor your credit file; Federal, state and local government agencies; companies reviewing your application for employment; companies that have a current account or relationship with you, and collection agencies acting on behalf of those whom you owe; for fraud detection and prevention purposes; and companies that wish to make pre-approved offers of credit or insurance to you. To opt out of such pre-approved offers, visit www.optoutprescreen.com/.
4We will require you to provide your payment information when you sign up and we will immediately charge your card $4.95. After that, we will charge the card $19.95 for each month you continue your subscription. You may cancel at any time; however, we do not provide partial month refunds.
Equifax® is a registered trademark and Equifax Complete™ Premier is a trademark of Equifax, Inc. © 2014, Equifax Inc., Atlanta, Georgia. All rights reserved.
When two people fall in love, they tend to be blind to life’s realities. The last thing they want to do is bring up issues that might generate conflict, and let’s face it, the topic of taxes is definitely turbulent.
Ask the tough tax questions before you get married
After decades of working with people in tax trouble, I have learned that financial misunderstandings are the root of all evil. They generate tax problems, budget problems, bankruptcies, divorces, and flat-out nastiness. This is especially true when both partners are not truthful before marriage.
For instance, a friend of mine married a man who had neglected to tell her a few important things about his finances. He had an outstanding IRS tax lien for over $10,000 left over from his previous marriage. Because my friend and her new husband had comingled funds, the IRS took the money from her bank account.
Although my friend’s husband claimed to be an executive, he had not had a stream of income for some time. He ended up dissipating all her assets, including a substantial inheritance.
Fortunately, you can protect yourself by asking a few key questions and by requesting your prospective spouse’s permission to get some important financial reports on him or her. You should share the same information with your spouse-to-be:
File a Form 4506T request with the IRS for each of you. Request a copy of Form 1040 on line six, check all the boxes on the form, and enter the last four years on line nine (i.e., 2012, 2011, 2010, 2009).
When you send the form back to the IRS, the agency will send you the tax forms for the years you requested, and you’ll know if your future spouse has filed tax returns in the last four years. You’ll also learn whether he or she owes the IRS any money. If you fear that your soon-to-be spouse may owe outstanding balances for more than the past four years, you can request the last 10 years’ data.
Each order your own Equifax credit report to share with the other. Consider opting for a report that gives you information from all three nationwide credit reporting agencies. Doing so will alert you to liens, levies, a poor credit history, and more.
Once you have these reports in hand, it will be easier to start the money conversation. Thoroughly read the information in the reports and ask questions about anything you don’t understand, but don’t be hostile or accusing.
Ask the right questions. It’s important to be on the same page with your partner before you tie the knot. If your answers to the following questions differ, discuss your points of view rationally.
These are just some questions to bring up. Sit and think about things that matter to you and make a list that works for your situation. That way, you’ll be prepared to have a calm and rational conversation. I do hope it works out!
Eva Rosenberg, EA is the publisher of TaxMama.com ®, where your tax questions are answered. She is the author of several books and ebooks, including Small Business Taxes Made Easy. Eva teaches a tax pro course at IRSExams.com and tax courses you might enjoy at http://www.cpelink.com/teamtaxmama.
Equifax maintains this interactive forum for education and information purposes in order to allow individuals to share their relevant knowledge and opinions with other members and visitors. We encourage you to participate in discussions about personal finance issues and other topics of interest to this community, but please read our commenting guidelines first. Equifax reserves the right to monitor postings to the forum and comments will be published at our discretion. Do you have questions or comments about your Equifax credit report or customer-service issues regarding an Equifax product? If so, please contact Equifax directly. All opinions and information expressed or shared in blog comments are solely those of the person submitting the comments, and don't necessarily represent the views of Equifax or its management.