Innocent Spouse Relief vs Injured Spouse Relief: What’s the Difference?

Innocent Spouse Relief (ISR) and Injured Spouse Relief (IRS) are two IRS programs which provide financial relief to those who have filed joint tax returns. While they both serve as much needed assistance to taxpayers, there are important differences between the two that you should understand before filing a claim.

Five Key Differences Between Innocent Spouse Relief and Injured Spouse Relief

1. Tax Liability: ISR releases a taxpayer from the responsibility to pay taxes on jointly-filed tax returns, while IRS only relieves the taxpayer from paying their share of any unpaid taxes.
2. Qualifications: To qualify for ISR, taxpayers must prove that they didn’t know or had no reason to know that the tax return was incorrect at the time it was filed. To qualify for IRS, taxpayers must prove they weren’t responsible for creating the incorrect information.
3. Time Limit: ISR has a two year limit from the date when taxes were due or paid, whichever is later, while IRS has no set time limit to file your claim.
4. Taxpayers’ Relationship Status: ISR is only available to those who have filed a joint return and are now separated, while IRS relieves taxpayers regardless of their relationship status.
5. Impact on Refunds: ISR allows for refunds from returns to be split between the two parties, while IRS does not allow for any refund to be split between parties.

Understanding the differences between ISR and IRS is an important part of filing your taxes correctly and getting the financial relief you deserve. With the right information, you can make sure that you’re getting the most out of these programs!

How to File for Innocent Spouse Relief or Injured Spouse Relief

If you think you may qualify for Innocent Spouse Relief or Injured Spouse Relief, the first step is to submit Form 8857, Request for Innocent Spouse Relief to the IRS. This form must be completed in full and submitted along with any supporting documents. Once your claim has been reviewed it will either be approved or denied; if approved, you’ll receive a letter with the details of your relief.

The process can be complex, so it’s important to seek help from a tax professional if you think you may qualify for either program. They can provide valuable advice and guidance that could make the difference between getting financial relief or not.

Conclusion

Innocent Spouse Relief and Injured Spouse Relief are IRS programs designed to provide financial relief to those who have filed joint tax returns. They both offer benefits, but there are important differences between the two that you should understand before filing a claim. Knowing these five key differences can help ensure that you get the most out of either program if you qualify for it. If you think you may be eligible for either ISR or IRS, it’s important to seek help from a tax professional to make sure you know the best steps to take.