The answer to this question depends on the fact and circumstances of each individual situation.\u00a0 There are times when a spouse would not be responsible and there are other situations where the spouse is definitely responsible.<\/p>\n
Here are some circumstances that would be factors:<\/p>\n
Arizona is a community property state.\u00a0 That means that both the IRS and the Arizona Department of Revenue can consider the income from both spouses to be considered earned 50\/50 by each spouse even if they file separate returns.<\/p>\n
LLC\u2019s can be taxed as sole proprietorships, partnerships, C corporations or S corporations.\u00a0 The type of entity you have elected to be taxed as will have an impact of a spouse\u2019s liability of the LLC tax debt.<\/p>\n
The type of tax is critical.\u00a0 If it is payroll taxes and the spouse was preparing the payroll and had check signing authority would make the spouse responsible even if they were not an actual owner of the business.<\/p>\n
Ownership is also a critical factor.\u00a0 If both spouses are listed as owners and\/or officers, then the likelihood of both spouses being held responsible for the taxes is most likely.<\/p>\n
Dates of marriage and\/or divorce of the marriage will affect the chances of the \u201cinnocent spouse\u201d being held responsible or not responsible for LLC tax debts.<\/p>\n
There are many other factors that can affect the spouse\u2019s responsibility for tax debt.\u00a0 It is best to consult with a knowledgeable tax representative to get a specific answer based upon the facts and circumstances of your situation.<\/p>\n
Scott Allen E. A.<\/p>\n
Tax Debt Advisors, Inc<\/p>\n