I owe state sales tax for a LLC. The state of KY says they will collect all of my federal return. My wife was not listed as owner should I file separately from my wife

[bwa · Accepted solution]

You can file jointly and use injured spouse procedures so long as it is your debt.  That's why I was asking what name is on the sales tax return,.

You don't mention where you live. As an additional comment, the rules are sometimes different if you live in a community property state (Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin.)  In those states, even with injured spouse relief, the relief may not be as complete as it would be in other states. If you live in one of those states, see IRS Publication 555 for a more complete discussion of injured spouse in a community property state. It can be found at http://www.irs.gov/publications/p555/ar02.html#d0e928

[Peaches]

Thanks for the info!  KY says the LLC is single owner only me on the paperwork.
As the owner they threatened me personally.

[bwa]

Then injured spouse may provide some benefit (and more than filing separately) as KY is not a community property state.  On the other hand, you could just let the refund go for the unpaid sales tax.  That debt isn't going away.

[Peaches]

Thanks for the advice I'll see what works!

[bwa]

You can file separately, but because married filing separate rates are so much higher it's unlikely you will not end up ahead.

What name was on the sales tax returns?

[Peaches]

The business name LLC

[Peaches]

I read about form 8379 injured spouse filing jointly?