Client's divorce is going to be final April 1, 2012. He and his spouse had separate income. She owned the house. Due to job problems he has taken out of his IRA every year for the last five or so. Owes about 17M. We are filing MFS this year/no dependents.
Questions; since they filed a joint return when he incurred some of the debt, the IRS will look at her ability to pay?; what if they are divorced when the OIC his sent in? He does not want to involve her at all.
Client has since lost his job and I believe would qualify for the low income certification.
Have looked at the form 656 and watched the IRS video on completing. Guess I am looking for what is the best timing for this application. This guy needs help.
Questions; since they filed a joint return when he incurred some of the debt, the IRS will look at her ability to pay?; what if they are divorced when the OIC his sent in? He does not want to involve her at all.
Client has since lost his job and I believe would qualify for the low income certification.
Have looked at the form 656 and watched the IRS video on completing. Guess I am looking for what is the best timing for this application. This guy needs help.