Your Divorce Isn’t Over Until The Taxes Are Done: Pursuing Innocent Spouse Relief
It’s normal to end your divorce with a sigh of relief; after all, it can be a long and painful process. However, a divorce is often not the end of your legal relationship with your former spouse – there may be a tax audit or collection notices. In the worst cases, you may have to claim innocent spouse relief as a way to disentangle yourself from a reckless former spouse.
Thankfully, it is possible to fight for a fair financial outcome if your spouse underreported their income, undervalued assets or made other misstatements on your taxes. At The Gartzman Law Firm, P.C., our Atlanta innocent spouse relief attorney can help you resolve these issues.
What Is Innocent Spouse Relief?
As a pending divorced spouse, you will have to decide if you wish to file your taxes with your soon-to-be ex or independently of them. Both have their risks. The IRS holds you accountable for taxes accrued throughout your marriage, even if you are no longer living with or talking to your ex. This can leave you liable for thousands of dollars of debt, especially if your spouse failed to pay or file their taxes appropriately or hid assets. In those cases, innocent spouse relief may help you make a case to relieve you of that obligation.
To prove this, you will need to demonstrate that your spouse’s actions were outside of your knowledge. This can be very difficult, but it is not impossible.
Having a tax law attorney by your side can help you face your tax issues with greater confidence. They can gather the necessary documentation to support your claim, such as financial records and evidence showing your lack of knowledge about the tax issues. They can also represent you in any communications or negotiations with the IRS, advocating on your behalf to make a strong case for relief.
What Are The Three Types Of Innocent Spouse Relief?
The IRS offers three types of Innocent Spouse Relief to help individuals who believe that they should not be held liable for their spouse’s tax debt. These include:
- Innocent Spouse Relief: This type of relief applies when a spouse can prove that they were unaware of errors or omissions made by their spouse on a joint tax return. To qualify, they must prove they did not know and could not have known about the errors
- Relief by Separation of Liability: This relief is available for people who are divorced, legally separated, or no longer living with their spouse. It divides the tax debt between the spouses, assigning the right amount to each person based on each person’s actions.
- Equitable Relief: Equitable Relief is an option for those who do not qualify for the other two types of relief but still believe it would be unfair to hold them responsible for the tax liabilities. This type of relief considers financial hardship or other issues to see if it is unjust to hold them responsible for their spouse’s tax debt.
Are You Dealing With A Spouse’s Tax Debt? Call Us.
If the IRS is auditing your finances or has taken steps to collect on unpaid tax debt, calling an experienced tax law attorney can help you determine whether innocent spouse relief is an option for you.
At The Gartzman Law Firm, P.C., in Atlanta, we have over 40 years of experience helping individuals end tax obligations caused by a former spouse’s misconduct. Though these cases can be incredibly hard to demonstrate, we understand the methods to do so and will let you know from the very start if you have a case. Contact our lead tax attorney and CPA, Jeffrey Gartzman, by email today. You can also call our office at 770-695-7337.