Debt cancelled / Insolvency calculation question

[jklcpa]

Taxpayer is filing her return as married filing separate. She received 1099C from credit card debt canceled. Credit card was in her name only.

Client is still married, but separated from husband. Separation has not been formalized in any document. She (my client) is living in and paying 100% of mortgage on marital home. They are getting divorced, not finalized yet, no settling of assets as yet.

My question: how much of the home's FMV and debt would be included in solely the wife's insolvency calculation? Is it 1/2 of FMV and 1/2 of debt, if they still own it together, or would she include all because the mortgage co could come after either party?

Just to add some juicy details: husband was diverting mail, bills and money. Skipped off to NYC and left her with all this crap. Once he left, she found that the house was almost in foreclosure, which her parents helped to keep. Back year taxes had outstanding balances which we just last week got cleaned up and paid off. Lots of other stuff too. Husband is in banking!