Showing 109-120 of 123 results
IA 112: Appellate Review
Appellate Review. The Tax Code requires the IRS to conduct an “independent administrative review” before the rejection of an installment agreement is communicated to the taxpayer. 26 U.S.C. § 7122(e). Although the intention to recommend rejection should be relayed to the taxpayer, actual rejection of a proposed agreement must not be…
IA 113: Payment Amounts & Methods
Payment Amounts & Methods. A taxpayer’s payment obligations in a “routine” installment agreement are based on analysis of collection information statements and supporting documentation provided by the taxpayer. IRM § 5.14.1.4(2) (09-19-2014). This chapter discusses payment obligations in a “routine” installment agreement. Payment obligations are discussed separately in prior chapters…
ISR 101: 3 Types of Relief from Joint and Several Liability
Three Types of Relief from Joint and Several Liability. Many married taxpayers choose to file a joint tax return because of benefits this filing status affords them but ignore the detriments. When filing jointly, both taxpayers are jointly and severally liable for the tax and any additions to tax, interest, and penalties…
ISR 102: Innocent Spouse Relief
Innocent Spouse Tax Relief. Congress has authorized “Innocent Spouse Relief” for qualifying spouses to relieve them from certain joint and several tax liability related to an understated tax deficiency. 26 U.S.C. § 6015(a)(1). Through the “Innocent Spouse Relief” program, the Requesting Spouse can be relieved of responsibility for paying any additions…
ISR 103: Separation of Liability Relief
Separation of Liability Relief. Congress has authorized “Separation of Liability Relief” for qualifying spouses to relieve them from certain joint and several tax liability related to a tax “deficiency.” 26 U.S.C. § 6015(c). The Tax Code defines “deficiency,” generally, as the amount by which the tax imposed by IRS Subtitle A…
ISR 104: Equitable Relief
Equitable Tax Relief. Congress has authorized “Equitable Relief” for qualifying spouses to relieve them from certain joint and several tax liability related to a tax deficiency and/or underpayment. 26 U.S.C. § 6015(f). Equitable Relief also applies to penalties and interest when relief is granted for the underlying item. IRM § 25.15.12.20.3(5)…
ISR 105: Form 8857, Request for Innocent Spouse Relief
IRS Form 8857, Request for Innocent Spouse Relief. A taxpayer seeks relief from joint and several liability by filing IRS Form 8857, Request for Innocent Spouse Relief. A Requesting Spouse may seek relief asserting one or more bases. A Requesting Spouse may submit a single claim (a) electing relief under…
ISR 106: Premature & Untimely Claims
Premature and Untimely Claims. A Requesting Spouse electing Innocent Spouse Relief and/or Separation of Liability Relief or requesting Equitable Relief must be cognizant of the window of opportunity. Elections and requests can neither be made prematurely nor untimely. Premature claims are discussed first, followed by a discussion of what constitutes…
ISR 107: Appellate Review
Appellate Review. This course discusses a Requesting Spouse’s appellate rights both (a) when the IRS fails to issue a “preliminary” determination within six (6) months of the election for Innocent Spouse Relief and/or Separation of Liability Relief, or request for Equitable Relief, and (b) after an IRS determination denying the…
ISR 108: Participation by Non-Requesting Spouse
Non-Requesting Spouse’s Participation. Conflict between the Requesting Spouse and the Non-Requesting Spouse is almost inevitable. Afterall, the Requesting Spouse is attempting to shift the joint and several tax burden onto the sole shoulders of the Non-Requesting Spouse. This burden shift request can make the Requesting Spouse unpopular in the eyes of…
ISR 109: Levies, Seizure & Court Proceedings Restricted
Levies, Seizure & Court Proceedings Restricted. The IRS’s ability to collect back-taxes is restricted when a Requesting Spouse files a claim with the IRS for Innocent Spouse Relief, Separation of Liability Relief, or Equitable Relief.
ISR 110: Installment Agreements
Installment Agreement Affected by Request for Relief. Some taxpayers do not know their tax options and contact the IRS for an installment agreement after receiving notice from the IRS that an audit revealed a tax deficiency due to a spouse’s failure to report income or improper deduction claim. This could be a…