Income tax: joint returns.

Existing income tax laws provide that an individual who made a joint return may elect, within 2 years of the date collection activities are initiated, to be relieved from liability for additional taxes and penalties if, among other things, that individual did not know of, and had no reason to know of, an understatement of tax attributable to erroneous items of the other individual filing the joint return. This bill would, as of January 1, 2009, also provide that an individual who has made a joint return and has been granted relief under specified Internal Revenue Code provisions relating to joint and several liability with respect to a federal joint income tax return, is eligible for relief from liability for additional taxes and penalties, except under specified circumstances.