Self-employed, low income but just sold house

thumper1
Fri, 29 Jan 2016 18:32:29 +0000

As husband is self employed, it’s unlikely they can file a 1040A, so they won’t qualify for simplified assets.

Not true. There are THREE qualifiers in addition to income to qualify for simplified needs. A family needs to have the income threshold of under $50,000 a year income and ONE of the following…not all three…just one

1. Ability to file a 1040a or 1040ez tax form

OR

1. Qualifies for a means tested benefit like SNAP or free/reduced lunch

OR

1. Is a dislocated worker.

If income is now below $40,000 a year, the family might also qualify for reduced lunch. They would need to apply and see.

The one parent IS a dislocated worker, per the above post.

It doesn’t matter that the husband is self employed. If they satisfy the income threshold…AND one of the three other qualifiers, they would be eligible for simplified needs test,