Move Afoot to Clarify Innocent Spouse Rules

Bill Introduced in Congress to Eliminate IRS's Two-Year Rule

In several past issues of this newsletter, I have written much about the Tax Court’s decision in the case of Lantz v. Commissioner,132 T.C. 131 (2009). I’ve also discussed this case at various times…

The Lantz decision involves the innocent spouse rules set forth in code section 6015. Code section 6015 sets up three different scenarios under which a person can get relief from a joint income tax debt. A joint debt is created when you file a tax return with your spouse as married filing jointly. Under the joint debt rules, even if just one spouse earned the income, both are fully liable for the tax if they elect joint filing status.

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