Question: . At the time Sherry signed her joint return, she knew that her spouse did not report $ 5 , 0 0 0 of gambling

.

At the time Sherry signed her joint return, she knew that her spouse did not report $

5, 000

of gambling winnings. The IRS examined the tax return several months after she filed it and determined that her spouse's unreported gambling winnings were actually $

25, 000 .

Sherry established that she did not know about, and had no reason to know about, the additional $

20, 000

because of the way her spouse handled gambling winnings. If Sherry meets the other requirements, what amount of the understated income will qualify for innocent spouse relief?

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