Harris Levin and Gayle Levin - Page 11

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                    Q  How did you think your tax liability arose?                    
                    A  I was told that the first year of this post                    
               office deal was not going to be allowed but that                       
               Schulman was working it out and it would be taken care                 
               of.  * * *                                                             
                    Q  And then later you learned that in fact some                   
               liability had been determined?                                         
                    A  Yes.                                                           
                    Q  Do you have any idea how it got from a maybe to                
               a this is it?                                                          
                    A  No.                                                            
               Thus, Ms. Levin's testimony indicates that she relied on               
          Mr. Levin's assurance that the tax dispute arising out of                   
          petitioners' Schulman investment "was being taken care of."  Our            
          interpretation of her testimony is that she implicitly authorized           
          him to take appropriate steps, which included, through                      
          professional agents, the petition in this case.                             
               In support of her motion, Ms. Levin relies on Abeles v.                
          Commissioner, 90 T.C. 103 (1988); Levitt v. Commissioner, 97 T.C.           
          437 (1991) (Levitt I); and Levitt v. Commissioner, T.C. Memo.               
          1993-294 (Levitt II).  In Abeles, however, the taxpayers were in            
          the process of divorce around the time that the notice of                   
          deficiency was mailed and the petition and amended petition were            
          filed.  Mrs. Abeles was unaware of the tax dispute until her bank           
          accounts were levied and a lien was placed on her residence.                
               In Levitt I, no decision had been entered at the time that             
          Mrs. Levitt asserted her husband's lack of authority to file a              

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