What is the primary purpose of injured spouse allocation?

The primary purpose of injured spouse allocation is to address a situation where one spouse has an unpaid debt that could affect the tax refund of the couple who filed jointly. This allocation allows the spouse who is not responsible for the debt to claim their portion of the tax refund, thereby protecting them from the consequences of the other spouse’s financial obligations.

When a married couple files a joint tax return, any refund due can be subject to seizure to satisfy one spouse's past-due debts, such as student loans or child support. The injured spouse allocation enables the non-debtor spouse to file a claim and receive their fair share of the refund, even when the joint refund could be intercepted due to the other spouse's delinquent debt.

This process is important for ensuring fairness and protecting the financial rights of the spouse who is not responsible for the debt, allowing them to maintain access to their tax refunds.