IRS Tax Debt Prior to Marriage**************.

[TenderUtah]

What is the name of your state? Utah
For varied/serious considerations...I have not filed taxes for approx 10yrs. Severe health probs (diabetes, depression, ADD, etc), divorce, single parent, displaced/unemployed, etc....with an even further number of far reaching factors. My IRS debt exposure is still yet to be determined and unknown. My question is can the Gov't lien my fiance/sweetheart's assets and/or wages (post marriage) for my prior unpaid tax years?
A second question I have is what is my best way to approach the govt to clear my past unknown obligations? Thank you!

 

[LdiJ]

What is the name of your state? Utah
For varied/serious considerations...I have not filed taxes for approx 10yrs. Severe health probs (diabetes, depression, ADD, etc), divorce, single parent, displaced/unemployed, etc....with an even further number of far reaching factors. My IRS debt exposure is still yet to be determined and unknown. My question is can the Gov't lien my fiance/sweetheart's assets and/or wages (post marriage) for my prior unpaid tax years?
A second question I have is what is my best way to approach the govt to clear my past unknown obligations? Thank you!

If you keep your assets and debts completely separate, (at least temporarily) and you don't file a joint return. Her property/assets should be safe.

Your first step in remedying your tax problems, is to get your returns prepared for the years in question to see what your actual liability may be. (remember that interest and penalties may apply) You don't have to immediately send them in, just get them prepared so that you know what you are dealing with. You can use any reputable tax preparer for that. Shop around a bit to find someone that will give you a discount for multiple years.

Unless you were self employed, its possible that you may not actually owe any taxes for the years in question, or your liability may be fairly low. If that is the case, you can simply send in the returns. You can't get a refund for any year prior to 2003, so only 2003, 2004, and 2005 refunds could be used to offset prior year liabilities.

If you get them prepared and discover that you do have a large liability, or a liability that you cannot pay off in installments over a couple of years, then you would want to consult a tax attorney prior to mailing in the returns.

 

[TenderUtah]

IRS Tax Debt Prior to Marriage - Continued

Thanks so much for the interest in my problem. I have a number of handicaps that would make this process a bit overwhelming - to say the least. Let me name a few and you tell me how these handicap challenges could figure in: 1) Depression 2) Lost my paid for home when I refinanced for cash & then due to poor stock market investments back in the '97-'99 time frame - many transactions as a dumb "day trader" with no experience. Only minor help from an investor type/former 20yr friend who sucked me in through a pyramid - the stock transactions were in the hundreds - and I lost it all and/or lived off the liquidated stocks- sold at a loss. 3) Because of my ADD/undisciplined life....my "records" are jumbled into literally heaps in boxes/bags in total disorganization. (my former wife was the paper organizer) 4) Since that 10yr mark when I sunk into deep depression (hospitalized) I lost my independent sales business (one man rep)....I've had no "legitimate" income....I've scraped by making ends meet.
I would like to know how far back would the Govt expect to review? Is there a way I can access their information on my ssn; as to what is reported as my records are in such disarray - and in many cases nonexistant. I might add that I've been self employed since 1980. I'm not gainfully employed and have not been for the 10yrs but have managed to pay my bills, child support, and not file bankruptcy - YET. Still no medical coverage...and my health is worsening. Is it better that I approach the govt employed or unemployed? In other words should I go out and get a WalMart job (because I have no "career" or trained profession). Interesting that my bank account was earmarked many years ago for automatic pay to the govt (some sort of forced process) which removes literally pennies each month I guess as a part of interest income. In lieu of my poor/incomplete records, can the govt establish income in a generic sense based on bank account activity? I don't even know if I'm asking all the right or appropriate questions. Thank you again.

 

[wonderingrover]

Thanks so much for the interest in my problem. I have a number of handicaps that would make this process a bit overwhelming - to say the least. Let me name a few and you tell me how these handicap challenges could figure in: 1) Depression 2) Lost my paid for home when I refinanced for cash & then due to poor stock market investments back in the '97-'99 time frame - many transactions as a dumb "day trader" with no experience. Only minor help from an investor type/former 20yr friend who sucked me in through a pyramid - the stock transactions were in the hundreds - and I lost it all and/or lived off the liquidated stocks- sold at a loss. 3) Because of my ADD/undisciplined life....my "records" are jumbled into literally heaps in boxes/bags in total disorganization. (my former wife was the paper organizer) 4) Since that 10yr mark when I sunk into deep depression (hospitalized) I lost my independent sales business (one man rep)....I've had no "legitimate" income....I've scraped by making ends meet.
I would like to know how far back would the Govt expect to review? Is there a way I can access their information on my ssn; as to what is reported as my records are in such disarray - and in many cases nonexistant. I might add that I've been self employed since 1980. I'm not gainfully employed and have not been for the 10yrs but have managed to pay my bills, child support, and not file bankruptcy - YET. Still no medical coverage...and my health is worsening. Is it better that I approach the govt employed or unemployed? In other words should I go out and get a WalMart job (because I have no "career" or trained profession). Interesting that my bank account was earmarked many years ago for automatic pay to the govt (some sort of forced process) which removes literally pennies each month I guess as a part of interest income. In lieu of my poor/incomplete records, can the govt establish income in a generic sense based on bank account activity? I don't even know if I'm asking all the right or appropriate questions. Thank you again.

You REALLY need to be talking to a tax attorney and/or an accountant about this situation. There are many factors that will have to be considered in a situation like this (i.e. - were the proper taxes witheld when the stocks were sold, how much tax liability is there, etc.). And the sloppy bookkeeping will not be a consideration for the IRS-they deem that to be the responsibility of the taxpayer. If there is a tax liability, and no taxes have been filed for years, that will be construed as tax fraud-in which case, they WILL dig deep to find any money owed them. You didn't mention whether you had any W2 income, but there will be 1099's on record with the SSA for the sale of the stocks. If any of these are ommitted when you do file, that will be used as further evidence of tax fraud-so you need to make absolutely certain you report EVERYTHING. Further, anyone that you have filed jointly could be held jointly liable for any resulting tax debts.

 

[TenderUtah]

Utah - IRS Debt Prior to Marriage....

Thanks so much for your advice. I'm out of my element in this for sure. It's been a tough 10yrs. I have a mountain to climb I can see based on my circumstances in having to somehow reconstruct my records. Then navigate through the maze of events thereafter whatever they may be. Know of any knowledgeable and creative tax attorneys in Utah?
I'm in the dark and hate to choose someone that could do me more harm than good.

 

[LdiJ]

Thanks so much for your advice. I'm out of my element in this for sure. It's been a tough 10yrs. I have a mountain to climb I can see based on my circumstances in having to somehow reconstruct my records. Then navigate through the maze of events thereafter whatever they may be. Know of any knowledgeable and creative tax attorneys in Utah?
I'm in the dark and hate to choose someone that could do me more harm than good.

You don't need a creative attorney...you need a good one.

You also need to do your level best to find/reconstruct your records. Even the world's best attorney can't do much for you without records....particularly if you have been self employed.

If a friend of mine was considering marrying someone with your tax issues....I would advise them NOT to get married.

 

[TenderUtah]

Utah - IRS Debt Prior to Marriage....

Thank you for your helpful advice. I will apply your recommendations. There are many ways to do the right thing. I'm mindful and have my fiance's best interests at heart having been fully truthful with her over the past 3 yrs....and the dynamics of what has transpired. Your advice again is appropriate and worthwhile. Thanks for the suggestions.

 

[Snipes5]

Be sure that the advice you take is from experienced, long-time members here who have proven themselves to have accurate information.

This new person here, "wonderingrover" claims to have worked for the IRS, which is certainly possible, but the last time I checked, the SOCIAL SECURITY ADMINISTRATION, aka SSA, DOES NOT issue forms 1099 for Stock Sales.

In addition, the IRS has strong criteria that is required to designate something as "fraud". They have to actually show that you intended to defraud the government before they can go "digging" for things. Merely failing to file does NOT indicate fraud.

Further, if they suspected fraud, they would have already been after you much more aggressively. The "pennies" they are taking from your bank accounts sound like "backup withholding" which is something required by the IRS when a person either A) Fails to give the bank a valid SSN for tracking, B) Fails to file taxes, or C) Is a Non-Resident Alien.

Proceed with caution, and stay away from those folks who advertise on TV that they can "solve your case with the IRS for pennies on the dollar".

Snipes