Item 10 - Marital Status

This item has space provided for including a date after the words "separated, divorced and widowed" in order that local Tax Credit employees might avoid the sending of a form letter to ascertain the same information. However, in the case of recently separated applicants, a notarized affidavit must be submitted stating the date separation occurred and that there is no present likelihood of the separated spouse returning to the household. (Utilize Form HTC-11A in this regard.) [See also COMAR 18.07.01.03(B)(4)].

Questions most often arise concerning what income is to be used for persons who are recently widowed, separated or divorced but who also filed a joint income tax return with the former spouse. For purposes of determining the proper amount of gross income to be used in these cases, the Department has adopted the following policy.

1. If the applicant was widowed, separated or divorced at any time prior to the beginning of the taxable year on July 1, the Department will count 100% of the applicant's income, but none of the departed spouse's income. In instances where the applicant's income alone amounts to less than $3,300, the burden will be shifted to the applicant to prove current income which then will be used for calculation of the Tax Credit. The purpose of having this one exception is to provide appropriate relief where the income of one wage earner is lost but at the same time it recognizes the need to have a realistic measure of the amount of income actually available to the surviving spouse. In cases where the death, separation or divorce occurred before July 1 but the applicants already have submitted a joint tax credit application, it is permissible for the remaining spouse to submit an amended application, even if a tax credit already has been issued.
   

   Of course, the remaining spouse will have to submit with the amended application proof of the changed status (i.e., a copy of the death certificate; a copy of the written divorce or separation agreement; or a notarized affidavit attesting to the separated status).

2. If the death, separation or divorce occurs on or after July 1 the Department will count 100% of both spouses' income.