Innocent Spouse Relief Granted

TaxProf Blog reports on a Tax Court decision in which the former wife of an accountant won equitable relief from joint and several liability under section 6015(f) of the Internal Revenue Code. The former wife credibly testified that she relied on her husband’s expertise in preparing joint tax returns throughout the marriage. She did not review the returns or even fill in the date next to her signature. Years later, when the parties were in marital counseling with a clergyman, the husband confessed that he had filed fraudulent joint tax returns but failed to mail the confession that he told them he would send to the IRS. The Tax Court credited the former wife’s testimony and overruled the Commissioner’s refusal to grant innocent spouse relief.

Celebrity Divorce Update

It’s hard to believe an entire month got away from me without a blog posting. I realized it when I saw this article in Forbes magazine, describing the top 10 most expensive celebrity divorces. Paul McCartney’s settlement may eventually eclipse them all, but for now, the biggest losers are Neil Diamond and Michael Jordan, each of whom paid more than $150 million! Anyway, the winter freeze has begun to thaw and I will be posting more frequently in the coming weeks. Stay tuned for more substantive articles, but in the meantime, check out the celebrity divorces.