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Monday 30 April 2018

Understanding The Innocent Spouse Relief Houston TX Wives And Husbands Apply For

By Ann Wallace


Virtually no American wants to receive unexpected mail from the Internal Revenue Service. It's never good news, and it can be scary. If you have gotten a notice that the IRS is reviewing your tax returns because they are suspicious that you and your spouse underestimated your tax obligation, you have a few options. First you have to understand the basics of the innocent spouse relief Houston TX husbands and wives apply for.

When couples file jointly, and the primary earner misleads the government about the amount of money earned, the other spouse may avoid being held responsible for the additional taxes, interest, and penalties owed if she qualifies under IRS guidelines. In order to qualify under the classic requirements, you must establish three things. First, you have to show that it was the other partner who reported incorrect information on his earnings.

You have to prove that, at the time you signed these returns, you did not know your husband had underestimated his taxes. There can be no circumstances under which you should have known. If there are, you won't qualify.

Thirdly, the Internal Revenue Service will review your information and investigate to determine if it's fair to hold you responsible for the taxes owed. They make this determination based on a number of things. First and foremost, they check to see if you materially benefited from the underestimation. They take things into consideration things like whether you are still married, legally separated, divorced, or have been abandoned.

If you think you qualify for this exception, you should file form 8857 with the IRS. When you are filling out the form, you need to put as much detailed information into it as possible. Where questions ask for explanations, you need to be specific and provide any documentation you think is pertinent. Giving the IRS as much information as possible will speed up the process.

You should know which type of relief you believe you qualify for and tailor your responses accordingly. Include a letter outlining your case and clearly point out the exact reasons, and your proof for them, that invalidate any responsibility for your partner's tax burden. If there are others who can validate your information, you need to include their notarized responses with your letter and form.

Although the IRS has changed the deadline to file one of these petitions, the sooner you do it the better. The deadline was two years, but has been increased. You may get an indication that something is wrong if you get a notice that your tax returns are being investigated. This notice will tell you that the IRS suspects taxes have been underestimated.

Dealing with the IRS isn't something most people want to do. It is better to work with them however than to try and avoid a serious issue. You may not be held liable for your partner's misconduct, if can prove you had no knowledge of it and didn't benefit from it.




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