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any unreported community income. This is not the case where
petitioner knew that Mr. Thompson had earnings from Trucking but
did not know the exact amount of those earnings. Cf. Horner v.
Commissioner, T.C. Memo. 1994-447 (spouse knew her husband worked
full time and earned substantial income); McGee v. Commissioner,
T.C. Memo. 1991-510, affd. 979 F.2d 66 (5th Cir. 1992) (spouse
knew her husband earned income from his dental practice which was
primary means of support and that his records were not kept in
order); Thatcher v. Commissioner, T.C. Memo. 1988-537 (spouse
knew her husband's dental practice earned money and that the
dental equipment was community property which generated income);
Baldwin v. Commissioner, T.C. Memo. 1986-342 (spouse previously
filed joint returns with her husband which disclosed income; she
knew her husband earned a salary from teaching at a university;
and she knew that his salary remained the same throughout the
years in issue). Accordingly, the third requirement is
satisfied.
Finally, taking into account all of the facts and
circumstances, we conclude that it would be inequitable to
include the unreported community income from Trucking in
petitioner's gross income. There is no evidence that she
benefited significantly from this income. Petitioner did not
live extravagantly and was given money by Mr. Thompson only for
groceries and clothing for the children. She took nothing away
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