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We have found that Sheldon signed a series of documents in
1981 purporting to give Sheldon an interest in State Coal and
purporting to impose obligations on Sheldon. Nancy is not named
in any of these documents, did not sign any of these documents,
and did not see any of these documents until late 1986, after
Sheldon died. The second sublease purports to obligate Sheldon
to pay $60,000 in cash and $1,540,000 in a promissory note on or
before December 30, 1981, and to make a $40,000 principal payment
on the promissory note on or before January 31, 1982. Sheldon
paid the $60,000 and the $40,000 by checks drawn on his separate
accounts, and he signed the promissory note. On the 1981 tax
return, the $1,600,000 disallowed deduction is claimed on
Schedule C, which shows Sheldon's name and Social Security number
and does not show Nancy's name or Social Security number. If
Sheldon and Nancy had filed separate tax returns for 1981, then
the disallowed deduction would have been on Sheldon's tax return
and not on Nancy's tax return. We conclude, and we have found,
that the item from which Nancy seeks innocent spouse relief is an
item “of” Sheldon, within the meaning of section 6013(e)(1)(B).
Bokum v. Commissioner, 94 T.C. 140.
On brief, respondent asserts that "It is uncertain whether
the four checks were the total payment for the interest in State
Coal because no evidence was offered of the total amount of the
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