Innocent Spouse Relief
Secure Innocent Spouse Relief Now With Priority Tax Relief
When married couples file joint tax returns, they are both held equally responsible for the accuracy of the information provided and any resulting tax liabilities. However, situations may arise where one spouse is unaware of errors or fraudulent activities committed by the other, leading to unexpected tax burdens. Innocent Spouse Relief is a provision by the IRS that offers protection to individuals in such circumstances. This article will explore what Innocent Spouse Relief is, how to prevent tax issues, and how Priority Tax Relief can assist.
What is Innocent Spouse Relief?
Innocent Spouse Relief is a provision that allows a spouse to be relieved of responsibility for paying tax, interest, and penalties if their partner improperly reported items or omitted items on a joint tax return. To qualify, the following conditions must be met:
- Filed a Joint Return: The relief is only applicable to those who have filed a joint return.
- Erroneous Items: The understatement of tax must be due to erroneous items (unreported income, incorrect deductions, credits, or property basis) of the other spouse.
- Lack of Knowledge: At the time the return was signed, the innocent spouse must not have known or had reason to know that there was an understatement of tax.
- Equity: Given all the facts and circumstances, it would be unfair to hold the innocent spouse liable for the tax.
How to Apply for Innocent Spouse Relief
To apply for Innocent Spouse Relief, one must file Form 8857, “Request for Innocent Spouse Relief,” with the IRS. The form requires detailed information about the joint return in question and the circumstances surrounding the request for relief. The IRS will review the application and decide based on the provided information.
Preventing Tax Issues in Marriage
While Innocent Spouse Relief offers a safety net, preventing tax issues from arising in the first place is the best approach. Here are some steps to help avoid such problems:
- Open Communication: Discuss financial matters openly and regularly with your spouse to ensure mutual understanding and agreement on tax-related decisions.
- Joint Review of Returns: Both spouses should review the tax return together before filing. This ensures that both parties are aware of all the items being reported.
- Maintain Records: Keep thorough records of all income, deductions, and credits. This helps in verifying the accuracy of the return.
- Seek Professional Help: Consider consulting a tax professional to ensure compliance with tax laws and regulations.
How Priority Tax Relief Can Help:
Priority Tax Relief is a tax resolution service that assists taxpayers in navigating complex tax issues, including those related to Innocent Spouse Relief. Here’s how they can help:
- Expert Consultation: They provide expert consultation to assess your situation and determine eligibility for Innocent Spouse Relief.
- Filing Assistance: Priority Tax Relief can assist in preparing and filing Form 8857, ensuring all necessary information is accurately reported.
- Representation: They can represent you before the IRS, handling communications and negotiations on your behalf.
- Preventative Strategies: They offer guidance on how to prevent future tax issues through proper tax planning and compliance.
Contact Priority Tax Relief at 888-708-2872 to learn more about innocent spouse relief and schedule a consultation.
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Frequently Asked Questions: Innocent Spouse Relief
What is Innocent Spouse Relief?
Innocent Spouse Relief is a provision by the IRS that allows one spouse to be relieved of responsibility for paying tax, interest, and penalties if their partner improperly reported items or omitted items on a joint tax return without their knowledge.
Who qualifies for Innocent Spouse Relief?
To qualify for Innocent Spouse Relief, the following conditions must be met:
- You filed a joint tax return.
- The understatement of tax is due to erroneous items of your spouse.
- You did not know and had no reason to know of the understatement at the time you signed the tax return.
- Considering all facts and circumstances, it would be unfair to hold you liable for the tax.
How do I apply for Innocent Spouse Relief?
To apply for Innocent Spouse Relief, you need to file Form 8857, “Request for Innocent Spouse Relief,” with the IRS. Provide detailed information about your joint tax return and the circumstances surrounding your request for relief.
Is there a deadline for applying for Innocent Spouse Relief?
Yes, you must apply for Innocent Spouse Relief within two years of the IRS first attempting to collect the tax from you. This includes actions such as levying your wages or bank account.
What are erroneous items in the context of Innocent Spouse Relief?
Erroneous items include unreported income, incorrect deductions, credits, or property basis that were incorrectly stated on the joint tax return. These errors must be attributable to the actions of your spouse.
Can I get relief if my spouse and I are still married?
Yes, you can apply for Innocent Spouse Relief regardless of your current marital status. However, the IRS will consider all facts and circumstances, including your relationship with your spouse, when evaluating your request.
What happens if my request for Innocent Spouse Relief is denied?
If your request is denied, you have the right to appeal the decision. You can request an appeal through the IRS Independent Office of Appeals. If you are not satisfied with the outcome, you can take your case to the U.S. Tax Court.
How can Priority Tax Relief assist with Innocent Spouse Relief?
Priority Tax Relief provides expert consultation to determine your eligibility for Innocent Spouse Relief, assists in preparing and filing Form 8857, represents you before the IRS, and offers guidance on preventing future tax issues through proper tax planning and compliance.