If you are struggling under tax debt that rightfully belongs to your spouse alone, the IRS does offer help and resources. Common situations that lead to an innocent spouse claim include financial and tax liability incurred without the spouse’s knowledge and returns on which the signature of a spouse is forged. The spouse making the appeal must file IRS Form 8857, and be prepared to discuss the elements of the return that are in dispute. Those approved for innocent spouse relief may be entitled to a reduction in taxes owed as well as in penalties and interest. Tax liens can possibly be removed from the injured spouse as well.
Frequently Asked Tax Resolution Questions (FAQ’s)
How do I make a claim for innocent spouse relief? What kind of proof is required?
IRS innocent spouse relief is designed to help taxpayers who are saddled with tax debt they may have no idea they are accumulating. If one spouse listed on a joint tax return is unaware that the other is engaging in deceptive or irresponsible financial practices – including those that constitute tax fraud or create significant joint tax liability – the innocent spouse may be able to petition for release from the tax liability.
The proof required varies depending on the nature of the alleged tax offenses being brought to light, but our tax experts can help you navigate the process of collecting required documentation. Innocent spouse claims often involve forged signatures on tax returns, taxable assets or business interests hidden from one spouse by another, or situations where one-half of a separated or divorcing couple creates a tax liability for the other which should not be shared.