In Welwood v. Comm’r, T.C. Memo. 2019-113, the Tax Court held that a Texas woman did not meet the criteria for equitable relief because she was not able to show sufficient economic hardship and that there was evidence she knew or should have known about the unpaid liabilities. Background Taxpayer was born in 1944. She … Read more
In Constance H. Briley v. Commissioner of Internal Revenue, docket number 7782-17 (T.C. Memo. 2019-55), the Tax Court denied innocent spouse relief to a Virginia woman, who the court said had reason to know of an error on her joint tax returns.
Constance H. Briley married Mr. Briley in 1988. They were married during the years involved; and although they separated in 2013, they remained married as of the date of trial.
When married taxpayers sign a joint return, they are jointly and severally liable for the taxes owed on the return. Oftentimes a spouse will fail to report income or claim improper deductions or credits, without the other spouse knowing. In such cases, it might be grossly unfair to hold the innocent spouse liable for the … Read more