When a couple decides to tie the knot there is a great deal of planning involved for the big day. But individuals should also make sure they get all of their financial skeletons out of the closet prior to getting married, and that includes outstanding tax debt.
If one partner owes back taxes, there are protections the other individual can take to avoid a backlash or being responsible for their partner's unpaid balance. According to Fox Business, individuals should consider refraining from opening a joint checking or savings account in the event that a levy is imposed and bank assets are seized by the federal government.
Following matrimony, couples may also want to file separately to avoid any situation in the future that could make one party responsible for the other's tax debt. However, this is just an added precaution as most partners are not responsible for debt that was incurred by their spouse prior to the marriage.
To understand how couples will be held responsible for back taxes owed by one partner, a visit to a tax preparer may clear things up and leave spouses feeling better informed. Tax preparers may also provide more insight on an individual's repayment options.
Every effort has been taken to provide the most accurate and honest analysis of the tax information provided in this blog. Please use your discretion before making any decisions based on the information provided. This blog is not intended to be a substitute for seeking professional tax advice based on your individual needs.