Clare Louise 
Married couples often file joint tax returns to take advantage of various tax benefits. However, this can lead to issues if one spouse doesn’t accurately report income, deductions, or credits. This can result in both spouses being held responsible for the tax liabilities and penalties, even if only one spouse was responsible for the errors.
To address this issue, the IRS provides a relief option called innocent spouse relief. In this article, we’ll explore what innocent spouse relief is and how it works.
What is Innocent Spouse Relief?
Innocent spouse relief is an option available to individuals who filed joint tax returns with their spouses and who believe they should not be held liable for errors on the return that were made by their spouse.
This relief option allows the innocent spouse to avoid paying the tax, interest, and penalties that may have been caused by their spouse’s errors. The relief is available in three different types of categories, which include:
- Classic Innocent Spouse Relief
- Separation of Liability Relief
- Equitable Relief
Let’s explore each of these in detail.
Classic Innocent Spouse Relief
This type of relief is available to spouses who signed a joint tax return that contained errors made by their partner. To qualify for this relief, the spouse must meet the following criteria:
- The tax understatement was caused by an error made by the other spouse.
- The innocent spouse didn’t know about the errors when signing the joint tax return.
- It would be unfair to hold the innocent spouse responsible for the tax debt.
If you meet all of these criteria, you may be eligible for this type of relief.
Summary
Innocent spouse relief can be a valuable option for spouses who believe they should not be held responsible for errors made by their partners on joint tax returns. It’s important to note that applying for this relief can be complex, and it’s essential to work with a qualified tax professional to navigate the process.
If you believe you qualify for innocent spouse relief, speak with an experienced tax professional who can help you evaluate your options and assist you in submitting your application to the IRS.
