Yes, you can still file for Innocent Spouse Relief if you are still married. However, there will be some additional considerations you will want to talk over with your lawyer. For one, the IRS and ADOR will look over whether or not you benefited from the unpaid taxes or unreported income. If you share accounts, it will be very hard to prove that you did not benefit (though not impossible!). You will also be required to prove that you had no knowledge and no reason to know that your spouse incorrectly filed taxes. This is where your lawyer will be extremely helpful as they will find the evidence necessary to show that you did not know about the erroneous tax returns.

Yes, they will. In fact, by federal law, your spouse must be notified. They will be given the opportunity to provide their side of the story and to appeal the spousal relief if there is reason to believe it was unfair. They will not be given your current address, phone number, employer’s name or location, new legal name. If you are concerned about domestic abuse or coercion, you should inform the IRS who will assign you a specialized agent who will take extra precautions to keep your personal information private.

If your Innocent Spouse Claim is denied, our lawyers are prepared to give you next steps so that you have a path forward. We will walk you through your options. First, you can appeal the decision, which you will have 30 days to do. If you are denied again, you can petition the U.S. Tax Court within 90 days. If your case is permanently denied, there are other options if your situation qualifies such as Separation of Liability if you are divorced or legally separated or Equitable Relief where the IRS or ADOR can decide it would be inherently unfair to hold you liable given the facts. A denial can be devastating so talk to our lawyers about your next steps.

While Innocent Spouse Relief and Injured Spouse Relief seem very similar, they handle different situations. Innocent Spouse Relief can help you if you and your spouse received a bill for taxes, interest, or penalties related to an error or hidden income that you had no knowledge of. Injured Spouse Relief can pay you back for the money seized by the IRS to pay a debt that your spouse is solely responsible for. The forms are different so talk to your lawyer about which you may qualify for and how to go about applying.

You must file your Innocent Spouse Relief claim (using IRS Form 8857) within 2 years of the day the IRS attempted to collect the tax from you. If you miss this 2-year deadline or you do not qualify for the classic relief options, you may consider applying for Equitable Relief. This relief has a much more flexible deadline. If any of these claims are denied, you will also face strict deadlines to file appeals. Having a lawyer on your case can ensure the best chances of success as well as no missed deadlines.

Yes. In many cases, if you file for Innocent Spouse Relief with the IRS and it is granted, ADOR will mirror this decision and grant relief as well. In order to be granted relief through the state, you must submit the IRS Final Determination letter as proof. However, Arizona also provides its own Innocent Spouse Relief. If you are looking for relief while your federal relief is pending, you could file a claim directly with ADOR. Or in situations where there is a state-specific issue, you will be required to file for relief with ADOR. Talk to our lawyers to ensure you get relief on all sides.