i found some papers that have given me some more information and i have another question.
the downpayment of $40,000 came from his 401k. a QDRO was drafted (i dont know what that is). he had to take out an additional $10,000 above what the downpayment was supposed to be that was supposed to cover any taxes i had to pay due to receiving the $40,000 downpayment to pay me for back child support--so he took out a total of $50,000. of that amount i received $33,000.
my settlement agreement states :
the sum due to the former wife as set forth in the QDRO shall be calculated such that the former wife receives no less than the net sum of $40,000 after all applicable tax withholdings
and penalties/fines are subtracted. if the wife receives any monetary benefit
in excess of $40,000 as an incident to her income tax bracket, said amounts shall become the property
of the wife and shall not be credited against the remaining sums owed by the former husband pursuant to this agreement". its called a 'qualified domestic relations order'.
the ex- is saying he has to pay taxes on the $50,000 and thats why he wants $10,000 back.
after reading the irs site, i think its saying that i am liable for the $40,000. my income of $17,000 plus the $40,000 puts a whopper on me.
but if i pay the tax on it how could he be liable for the tax on it?