Injured/Innocent Spouse

[Spencer Wilson]

Filing a joint return for 2023...1040. Spouse has ex wife who has filed BK. Current 2023 has a refund of $12K. Can IRS apply that refund to the ex spouse's debt? Do I need to file for injured spouse based on their being married at the time of the incurred debt? 

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N Spencer Wilson - EA

SPENCER WILSON F.M.S.

18652 Florida St. Ste 365 

Huntington Beach, CA 92648

ph: 562 856 4815

fx: 562 856 3284

www.wilsontaxes.com

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[Lee Reams]

Spencer,

The IRS generally applies a joint tax refund to any past-due federal tax, state income tax, state unemployment compensation debts, child or spousal support payments, or other federal nontax debts (such as student loans) owed by either spouse. However, the IRS will not apply your joint refund to the ex-spouse's debt if the debt is not legally enforceable against your current spouse.

In your case, if the debt in question is solely the responsibility of your spouse's ex-wife and not your spouse, the IRS should not apply your joint refund to that debt. However, if there is any confusion or if the debt is mistakenly applied to your refund, you can file for injured spouse relief.

Steps to Consider:

Determine Liability: Confirm that the debt is solely the responsibility of your spouse's ex-wife and not your spouse. If your spouse is not legally obligated to pay the debt, the IRS should not apply your refund to it.

File Form 8379: If you are concerned that the IRS might mistakenly apply your refund to the ex-wife's debt, you can file Form 8379, Injured Spouse Allocation. This form allows you to request your portion of the refund that would otherwise be used to pay the past-due amount.

Important for Community Property States - If the injured spouse resides in a community property state, Form 8379 may be filed if only taxpayer (injured spouse) isn’t required to pay the past due amount.

Overpayments involving community property states are allocated by the IRS according to state law of the state of residence.

Lee

On Jul 10, 2024, at 9:49 AM, Spencer Wilson <nswil...@gmail.com> wrote:

Filing a joint return for 2023...1040. Spouse has ex wife who has filed BK. Current 2023 has a refund of $12K. Can IRS apply that refund to the ex spouse's debt? Do I need to file for injured spouse based on their being married at the time of the incurred debt? 

 

	Lee Reams Sr., BSME, EA Chief Content Officer CountingWorks Pro | CountingWorks | TaxBuzz | TaxCPE p: 1.800.442.2477 x240 w: www.countingworkspro.com/  e: lee....@countingworks.com
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