Are You Liable for Unpaid Taxes After Divorce
My question involves a marriage in the state of: CA
IRS audited a previously filed joint return, after date of separation, and assessed back taxes, penalties and interest owing for unreported income from my spouse. IRS granted me Innocent Spouse Relief and relieved me of the obligation to pay. My spouse claims I am responsible since the obligation was listed in our separation agreement. However, the obligation was zero at the time of separation. Two years after we signed the agreement, the debt was assessed and incurred.
To reiterate, note the agreement was a separation agreement and not a settlement agreement.
Who is responsible for this debt? Is it separate property since the debt was incurred after signing? Will the California Family Court honor the IRS determination of Innocent Spouse Relief and consider it separate property and liable to my spouse? Am I breaching the contract?
Also, I am having difficulty identifying applicable laws and/or previous cases and how my case applies to those laws.
Any advice will be much appreciated!
Re: Are You Liable for Unpaid Taxes After Divorce
Unfortunately we cannot interpret the language of an agreement that we have no opportunity to read. You should review the agreement with the lawyer who represented you in your divorce case.
Re: Are You Liable for Unpaid Taxes After Divorce
You mention a separation agreement that that was signed two years before the IRS assessed the additional tax. Then you applied for Innocent Spouse relief, which the IRS then granted, a process that also takes some time. Yet you make no mention of the divorce being completed or any divorce orders being entered by the court. Am I to assume then that even though more than two years have passed since the separation agreement was signed that the divorce proceedings are still ongoing?
Re: Are You Liable for Unpaid Taxes After Divorce
Yes still ongoing. No orders at present. Need to prepare trial brief and state my arguments, pro se.