IRS Debt from a Spouse: Finding Relief and Solutions
Dealing with IRS debt from a spouse can be a stressful and confusing situation. Eddie Money Tax Resolution understands the complexities of shared tax liability and is here to help you navigate this challenging terrain.
Here's a Breakdown of How Spousal Responsibility for Tax Liability is Determined:
- Married Filing Jointly: Both spouses are equally responsible for any tax due, even if only one spouse incurred the liability.
- Married Filing Separately: Only the primary taxpayer listed on the return is responsible for the tax due.
- Single Filing:
The individual filing is solely responsible for any tax owed.
Important Considerations:
- Spouse's Death: If you filed jointly and your spouse dies, you remain responsible for any remaining tax liability if the estate can't cover it.
- Divorce: Even if you're in the process of divorce, you're both still responsible for taxes filed jointly. The IRS does not adhere to divorce decrees regarding tax liability.
- Innocent Spouse Relief: If it can be proven that the filing spouse deliberately filed an incorrect or false return, you may qualify for "innocent spouse relief", relieving you of some or all the liability.
Types of Innocent Spouse Relief:
- Innocent Spouse: Available if you were unaware of the incorrect or false information on the return. Specific conditions must be met to qualify.
- Separation of Liability Relief: Available if you're divorced, legally separated, widowed, or haven't lived with your spouse for 12 months prior to requesting relief.
- Equitable Relief:
Available if you don't qualify for the other two forms of relief but it would be unjust to hold you liable for the tax.
Time Limits for Filing for Spousal Relief:
- Innocent Spouse and Separation of Liability Relief: Must be requested within 2 years of the date the IRS first began collecting the tax from you.
- Equitable Relief: Can be requested during the entire period the IRS can collect the tax from you.
Injured Spouse:
If your spouse has past due taxes or other court-ordered obligations, the IRS can take your entire refund from a joint return. However, you can file Form 8379, Injured Spouse, to claim the portion of the refund that is rightfully yours. This process can take up to 12 months.
We're here to help you through this difficult process. We'll analyze your situation, determine your options for relief, and work diligently to get you the best possible outcome.
Contact us today for a consultation.
Phone: (856) 477-4357 | Email: eddiemoneytaxresolution@gmail.com
Service Areas: Wayne County, Michigan, Oakland County, 75 Radius Excluding Canada