Innocent Spouse Relief
When married taxpayers file their returns jointly, they are both responsible for any penalties that arise on the joint return even if one spouse earned all the income or claimed improper credits. There are three types of relief from joint returns. The “innocent Spouse Relief” helps alleviate extra taxes you owe if your spouse failed to report income or reported any income or credits improperly. “Separation of Liability Relief” provides for separate allocation of additional tax owed between former spouses that are legally separated or not living together, when an item wasn’t properly reported. “Equitable Relief” is used when you don’t qualify for innocent spouse relief or separation liability.