Ask A Question
Some marriages end in divorce. The fact is, in the United States, divorce occurs in almost 50% of marriages. In some cases, tax problems can occur after a divorce or separation is finalized.
What exactly is Innocent Spouse Relief?
If you previously filed a joint return with your spouse, and you believe that you should not be held accountable for mistakes made (or fraud committed) by your spouse, then you could be a candidate for Innocent Spouse Relief from the Internal Revenue Service.
The Three Types of Innocent Spouse Relief:
Traditional Innocent Spouse Relief – Your spouse filed something wrong on your joint return and you are potentially not liable for the tax debt that occurs after the error is corrected.
Separation of Liability – If there is a balance due on your joint return, you could be responsible for only your portion of the amount due. This is based directly on your income and withholdings and/or payments you made.
Equitable Relief – If you do not qualify for the first two types of Innocent Spouse Relief, the IRS may grant you Equitable Relief because it would be unfair to hold you responsible.
The following requirements must generally be met in order to apply for Innocent Spouse Relief:
You must file Form 8857 no later than two years after collection on the liability starts
You must file a joint return
You must have an understatement of tax (you owe the IRS money) due to error(s) by the other, non-requesting spouse
At the time of the signing of the return, the requesting spouse did not know of understatement of tax (and can prove this)
It is inequitable to hold the requesting person who did not know of the error liable for the additional tax
What Are My Chances for Obtaining Relief?
Assuming that you meet the above requirements, www.irs.gov shows the following eight factors show what would improve your chances of having an Innocent Spouse Relief claim approved and those that would decrease your chances for approval:
Factors for Relief
1. Your marital status is divorced or separated (for Separation of Liability, it is required for at least the past 12 months)
2. Requesting spouse will suffer a hardship due to the error
3. The requesting spouse has suffered abuse
4. In a divorce decree or separate legal arrangement, the non-requesting spouse is obligated to pay the liability (it is helpful if the decree states why the non-requesting spouse is liable – i.e. it was their error that was not known to the requesting spouse)
Factors Against Relief
1. The understatement is attributable to an error made by the requesting spouse
2. The requesting spouse had knowledge, or a reason to know, of the omission or error
3. The requesting spouse received significant benefit from the income that was understated
4. In a divorce decree or separate legal arrangement, the requesting spouse is obligated to pay the liability
Access vital information in the sphere of Internet Business – please make sure to study the web site. The time has come when proper info is truly at your fingertips, use this chance.
Tags: irs
Posted in Taxes · February 12th, 2010 · Comments (0)
If you are one of those people whose bills are beginning to pile up at home, I think it is time for you to learn how to consolidate debt. You need to do this as soon as possible so that you will not be put in a worse situation. There are several types of methods that you might want to try to be able to pay off all your bills. You should learn to look out for your financial well being because it is quite difficult to get up once you have dug a hole that is too deep for you to handle.
What are the most proper way that you can try out to pay off your debts?
So you could have been asking yourself again and again again : How do I consolidate my debts? As a start, one thing that you can do is to go looking for a consolidation company that will provide help to your problem. This company will contact your lender and work with them so that they can think about a plan on how it’s possible for you to pay off everything that you owe. One common reason why some folk are behind in paying their Visa card bills is due to credit corporations that have extraordinarily stern and frequently irrational rules when it is about making payments.
The finance executives which make up the consolidation company that you select can help you with dealing with these creditors. They are going to do their best to make them loosen their grip till they get you out of this difficulty.
One great thing about sliding into debt consolidation is that it gives you the right to transform all of your prior bills into a single standard payment that’ll be less than the amount that you were repaying then. This makes it simpler for you to pay your obligations. It decreases the overpowering feeling and pressure that’s on you. With having to pay only once a month, you become less stressed and centered with what you want to do.
All of the payments that you make will go to the company that you make a decision to hire. You are clearing the loan that you agreed to have with them. There are 2 commonest types of loans that these firms often offer to their clients : secured and unsecured. But before making a decision which one to get, try to research and entirely understand what every one of the 2 has to give.
Secured loans are the most suitable choice for folks who have liabilities but still have a trustworthy source of revenue. They’re often ready to pay promptly. Unsecured loans are good for those that have unstable incomes. It is vital that you study all this info first before getting to a last call. Ensure that you are conscious of what they have to supply and what services you can get from them. Consolidating your debt gets easier when you have the right data and the right consolidation company by your side.
Looking to find the best settlement for Credit Card Debt, then visit consolidatingcreditcarddebtforyou.com to find the best advice on IRS Debt Relief for you.
Tags: Bankruptcy, christian debt reduction, consolidating, credit card, Debt, debt reduction, Family, Finance, Finances, Home, irs, loans
Posted in Finances · November 18th, 2009 · Comments (0)