Innocent Spouse Claims

Atlanta Tax Lawyer: Innocent Spouse Claims

Most married taxpayers file a joint tax return to take advantage of the tax benefits this filing status allows. When a joint tax return is filed, both taxpayers are jointly and individually responsible for the tax and any interest or penalty due on the joint return. This is true even if they later divorce and the divorce decree states that a former spouse will be responsible for any amounts due on previously filed joint returns.

An innocent spouse, who merely signed a joint return, should not be held liable for errors on the return caused by the actions of the other spouse, especially if the couple has divorced and the government is attempting to collect from the income of the innocent spouse.

Injured Spouse Relief — Relief from joint and individual liability should not be confused with an injured spouse claim. A taxpayer is an injured spouse if he or she files a joint return showing an overpayment and all or part of the taxpayer’s share of the refund was, or will be, applied against his or her spouse's or former spouse's past-due federal debts, state taxes, or child or spousal support payments. An injured spouse may be entitled to receive a refund of his or her share of the overpayment shown on the joint return.

Fortunately, there is some relief available for innocent spouses. There are three types of relief from joint and individual liability for spouses who filed joint returns:

• Innocent Spouse Relief: Innocent spouse relief is available for additional tax owed because a taxpayers spouse or former spouse failed to report income or claimed improper deductions or credits.
• Separation of Liability: Separation of liability provides for the allocation of additional tax owed between the taxpayer and his or her spouse or former spouse because something was not reported properly on a joint return. The additional tax allocated to the taxpayer is generally the amount the taxpayer is responsible for.
• Equitable Relief: Equitable relief may apply when a requesting spouse does not qualify for innocent spouse relief or separation of liability relief for something not reported properly on a joint return. A taxpayer may also qualify for equitable relief if the correct amount of tax was reported on the joint return but remains unpaid.

Eligibility for Relief from Joint and Several Liability

The requirements for relief are very complicated and are different depending on whether the taxpayer is seeking innocent spouse relief, separation of liability, or equitable relief. You should consult an experienced tax attorney to see if you qualify for any of these types of relief.

Contact the Stockbridge law office of David R. MacKusick at 678-369-0761 (Toll-Free: 1-866-408-9426) to schedule a free initial consultation with an experienced tax attorney.