California Finds FTB Properly Calculated Amount of Tax Liability After Innocent Spouse Relief

The California State Board of Equalization (SBOE) found that the Franchise Tax Board (FTB) properly calculated the amount of Taxpayer’s tax liability after granting innocent spouse relief. Taxpayer appealed an additional income tax assessment and indicated she had been granted partial innocent spouse relief by the IRS. The FTB granted partial innocent spouse relief in turn, but Taxpayer appealed the FTB’s calculation. The SBOE found that the FTB properly followed Cal. Rev. & Tax Code Section 18533(i)(I) in granting the same amount of relief as the IRS did for the same tax year. As the IRS granted relief for a ...