2024-58, Dr. Strom discovered just how difficult it can be to obtain innocent spouse relief. In January 2001, Mrs. Strom received Forms W-2 from InfoSpace which collectively reported more than $100 million of taxable compensation. The Tax Court in Strom concluded that Dr. Strom failed this requirement. The Tax Court held that equitable favors counseled against granting Dr. Strom innocent spouse relief. In prior decisions, the Tax Court had held that an improper refund of a substantial amount can serve as a significant benefit.

Source: Forbes June 18, 2024 15:41 UTC