Reported about 8 hours ago
When navigating a divorce, the division of tax debt can be complex, hinging on state laws and the timing of when debts were incurred. Generally, debts from the marriage are viewed as shared, while those acquired before are considered separate. States follow either community property or equitable distribution principles, affecting how tax liabilities are split. It's crucial to note that the IRS may hold both spouses accountable for jointly filed tax debts, regardless of divorce agreements, but options like innocent spouse relief and separation of liability relief can offer some protection. Consulting a financial advisor can help clarify these obligations.
Source: YAHOO