If the IRS is coming after you for your spouse’s tax debt, you might qualify for Innocent Spouse Relief
If you’re facing tax debt due to your spouse’s actions, the IRS Innocent Spouse program may be a great option. This program is designed to help taxpayers who filed joint tax returns with their spouse, but were unaware of any inaccuracies or discrepancies on the return. If you qualify under the Innocent Spouse Relief rule, you may be able to avoid paying your spouse’s tax debt and any associated penalties or interest. However, it’s important to understand the requirements and limitations of the program before proceeding.
What is the Innocent Spouse Rule?
The Innocent Spouse Rule is a provision in the US tax code that allows a taxpayer to be relieved of joint tax liability, penalties, and interest. The rule applies to taxpayers who filed a joint tax return with their spouse or former spouse, but the tax debt was solely the fault of their spouse.
What’s the difference between Injured Spouse and Innocent Spouse Relief?
Injured Spouse Relief and Innocent Spouse Relief are two separate provisions under the tax code. Injured Spouse Relief is a provision that helps protect the refund of the portion of the overpaid tax to the spouse who was not responsible for the tax debt. Innocent Spouse Relief, on the other hand, relieves the taxpayer from joint liability for tax, penalties, and interest on a tax debt that was solely the fault of their spouse.
What qualifies for Innocent Spouse Relief?
To qualify, a taxpayer must meet the following conditions:
- A joint return was filed with the spouse.
- An understatement of tax is attributable to the spouse.
- The taxpayer did not know or have any reason to know of the understatement at the time of signing the joint return.
- It would be inequitable to hold the taxpayer liable for the tax debt.
What are the types of Innocent Spouse Relief?
- Innocent Spouse Relief – This type of relief is available when a spouse did not know and had no reason to know that their spouse understated the tax on their joint return.
- Separation of Liability Relief – This type of relief allocates the tax liability between the spouses, so each spouse is responsible for their share of the tax debt.
- Equitable Relief – This option is available when a taxpayer does not qualify for Innocent Spouse Relief or Separation of Liability Relief, but it would be unfair to hold them responsible for the tax debt.
How long does the process take?
The length of time it takes to get relief depends on the specific circumstances of the case. However, the IRS typically takes anywhere from 6 months to a year to process a claim. The process can be complex, and it’s best to seek expert help to ensure the process goes smoothly.
Get help from the professionals
Tax relief is a complex provision under the tax code. If you believe you qualify for this relief, it’s essential to seek expert help. Andrin Tax Relief can provide the expertise you need to navigate the process successfully. Contact us today to learn more about how we can help you.
