Form 8857: IRC Section 6015(f) Equitable Relief Explained (Part 2)

Equitable Relief: How the IRS Decides Fairness

Under IRC §6015(f) equitable relief, the IRS weighs multiple factors to determine if it would be unfair to hold you liable. No single factor guarantees approval — the IRS evaluates the overall situation. Your marital status matters: being divorced or separated strengthens your case, while still living together with your spouse weakens it.

Key Factors the IRS Considers

The IRS examines whether you knew or had reason to know about the understatement, whether you received significant benefit from it, whether your spouse abused you or maintained financial control, your mental or physical health status, and whether you made a good-faith effort to comply with tax laws in subsequent years.

Economic hardship is also a major factor — if paying the liability would prevent you from meeting basic living expenses, the IRS is more likely to grant equitable relief. Documentation of your financial situation strengthens this argument.

Making Your Best Case

When applying for equitable relief, be thorough and truthful. Include all supporting documentation: divorce decrees, financial records showing limited access to family finances, evidence of abuse or control, medical records if applicable, and documentation of current financial hardship. Do not omit facts that hurt your case — the IRS will discover them, and dishonesty undermines your entire request.