The majority of married taxpayers chose to file their taxes jointly. Generally, married taxpayers take advantage of a higher standard deduction and other tax benefits when filing their taxes together. Though, a great number of those married couples do not understand the possible liability that comes with the joint-filing status. Did you know that filing jointly allows the government to come after either spouse for the full amount of the tax debt, even if the debt or wrongdoing came from the other partner? That is where innocent spouse relief representation is needed. Even a homemaker who earns no income is considered to be liable and responsible for the full amount of any unpaid tax, interest and penalties. For those taxpayers who were once married but are now divorced or widowed are fair game for the IRS.
TYPES OF INNOCENT SPOUSE RELIEF:
1. INNOCENT SPOUSE RELIEF: provides relief from additional tax owed if a taxpayer’s spouse or former spouse failed to report income, reported income improperly or claimed improper deductions or credits. This type of relief is available in cases whether or not the taxpayers are still married and living together.
2. SEPARATION OF LIABILITY RELIEF: provides for the allocation of additional tax owed because an item was not reported properly on a joint return between the requesting spouse and the non-requesting spouse. The tax allocated to the requesting spouse is the amount for which the requesting spouse is responsible.Only taxpayers that are no longer married, legally separated, or not living together may request this type of relief.
3. EQUITABLE RELIEF: may apply when a taxpayer does not qualify for innocent spouse relief or separation of liability relief for something not reported properly on a joint return and generally attributable to the taxpayer’s spouse. Also, it is the only type of relief available for underpayment cases in which the correct amount of tax was reported on the joint return but the tax was not paid with the return.
Innocent spouse relief can be very difficult to obtain from the IRS, and in fact, many cases are denied due to error or misrepresentation. That’s why it is important to have an experienced IRS tax attorney in your corner to make sure that your rights and your assets are protected.
Our Tax Attorneys at the can analyze your case for Innocent Spouse protection and structure a comprehensive plan to protect you from a negligent spouse. We will speak with the IRS on your behalf, and help you protect yourself and your assets from a tax liability you did not cause.