Tax Talk

Question: I’m currently separated from my spouse, who owns his own business, and we are in the process of getting a divorce. I have always filed jointly with my husband, and now the IRS is sending me notices stating I owe $65,000. I have no idea how they are coming up with this amount, as my spouse said he was always taking care of this and paying the IRS what was owed.

Answer: You may be able to avoid this liability entirely under the IRS’s Innocent Spouse Relief rules. Under federal law, if an income tax return is signed by both husband and wife, both spouses are 100% responsible for the taxes owed. However, the law permits special consideration where a spouse cannot be held responsible for the underreporting of income or the understatement of tax that is attributable to the other spouse.

If you meet the criteria, you may be able to apply for innocent spouse relief. If you feel you were deceived by your spouse or tricked into signing a return you thought was correct, this will help your case. There are many other ways you may be eligible for relief under the IRS’s innocent spouse rules. A tax resolution specialist can sort this out and determine the proper path forward for a permanent resolution.

Mark Diehl is the founder and president of Diehl CPA LLC and a Certified Public Accountant licensed in Alaska. He has a Bachelor of Science and a Master of Science degree in Accounting from Western Governors University. Mark has previously worked with the Minnesota Department of Revenue as a tax auditor, so he knows the audit process very well. Diehl CPA is Alaska's expert in Tax Negotiation and Mediation.