Generally when a married couple files a joint return, both parties are liable for any unpaid liabilities for any unreported or under reported income. An “innocent spouse,” a taxpayer who did not know and did not have reason to know that his or her spouse understated or underpaid an income tax liability, can under certain circumstances, escape responsibility for these tax obligations.
Effective immediately, the IRS will no longer enforce a rule that required taxpayers to file for innocent spouse status within two years after receipt of an IRS collection notice. The deadline prevented taxpayers, who were in the dark about their spouse’s tax debts, from seeking relief.
There are three types of innocent spouse relief: the innocent spouse provision, separation of liability and equitable relief. The removal of the two-year limit only affects requests under the equitable relief provision.
Please see full article below for more information.
Firefox recommends the PDF Plugin for Mac OS X for viewing PDF documents in your browser.
We can also show you Legal Updates using the Google Viewer; however, you will need to be logged into Google Docs to view them.
Please choose one of the above to proceed!
LOADING PDF: If there are any problems, click here to download the file.