What is the name of your state? CA
Right now, my husband and I owe money towards back taxes, and are set up on a payment plan with the IRS. However, right now, we are in the process of filing for divorce, and although I know that I am responsible for 1/2 of the amount we owe...there is a problem.
When the issues with the IRS started, we found out that apparently, my Father In Law, used my husbands SSN while he worked for a company. He made over $20,000 that year, and never bothered to pay any taxes...and so the IRS has put that amount on us. My husband talked to his father, and his father has not done anything to try and have it removed from our acct...and when I talk to my husband, he says he will work on it (this is now going on like 2 years).
Well...the first thing I want to find out is...what do I have to do to get his fathers amount taken off of the money that I will be responsible for after the divorce? I don't care if my husband wants to continue paying it (that is his choice), but I refuse.
Second thing is...my hsuband told me that the IRS had offered to allow us out of the debt we owe. He said that they told him that because of our living expenses that we qualified to not have to pay it back. When I have talked to other people about this, they say they have never heard of the IRS allowing this. My husband told me that he decided to do the repayment plan, cuz he felt that he honestly owed the money.
Does the IRS allow something like this?
If they do allow this...after the divorce, would they allow me to go back in and petition to do this, since my income will be significantly reduced.