Innocent Spouse Relief

Innocent Spouse Relief

You can be relieved of responsibility for paying tax, interest, and penalties if your spouse (or former spouse) improperly reported items or omitted items on your tax return.  This is done by requesting innocent spouse relief. For the most part, taxes, interest, and penalties that qualify for relief can only be collected from your spouse or former spouse.  You are still jointly and individually responsible for any tax, interest, and penalties that do not qualify for relief. The IRS can collect these amounts from either you or your spouse or former spouse.

If you meet all of the following conditions you may qualify for innocent spouse relief:

A request for innocent spouse relief will not be granted if the IRS proves that you and your spouse (or former spouse) transferred property to one another as part of a fraudulent scheme. A fraudulent scheme includes a scheme to defraud the IRS or another third party, such as a creditor, ex-spouse, or business partner.

Separation of Liability Relief

If you are no longer married to, or are legally separated from, the spouse with whom you filed the joint return for which you are requesting relief, you may qualify for Separation of Liability Relief. (includes if you are widowed.)

You also may qualify for this type of relief if were not a member of the same household as the spouse with whom you filed the joint return at any time during the 12-month period ending on the date you file for relief.

The understated tax, plus interest and penalties on your joint return is allocated between you and your spouse or former spouse. The understated tax allocated to you is generally the amount you are responsible for.  It is available only for unpaid liabilities resulting from the understated tax and refunds are not allowed.

Our enrolled agent will advise you on the best course of action.

Community Property States

If you are married and live in a community property state, and you did not file a joint return, you may be eligible for relief.  Contact us for details on this type of tax relief.

Equitable Relief

Those who do not qualify for innocent spouse relief, separation of liability relief or relief from liability due to community property law may still be able to get tax relief through Equitable Relief.  Contact us to learn more about this type of tax relief.