- 41 - In Bokum v. Commissioner, 94 T.C. 126 (1990), affd. on another ground 999 F.2d 1132 (11th Cir. 1993), we held that “the taxpayer claiming innocent spouse status must establish that he or she is unaware of the circumstances that give rise to error on the tax return and not merely to be unaware of the tax consequences”. Id. at 145-146 (citing Purcell v. Commissioner, 86 T.C. 228, 238 (1986), affd. 826 F.2d 470 (6th Cir. 1987)). In Bokum v. Commissioner, supra at 146, we held that a putative innocent spouse’s knowledge of the relevant underlying transaction incident to the grossly erroneous deduction and the appearance of a large, unexplained deduction on the face of the income tax return, id. at 148, are both independently sufficient to cause the putative innocent spouse either to have a reason to know of the substantial understatement of tax incident to a grossly erroneous deduction or to impose upon her a duty to inquire. 17(...continued) At trial, Mr. Heitzman explained his state of mind: you put all that together, and it was pretty * * * devastating. And so, you know, I felt my world has fallen apart. I was bitter because of the marriage that didn’t work. I’m sorry. * * * I take full responsibility * * * [for] the letter I wrote * * * [which] doesn’t reflect the facts * * * when I now can look at it later. Based upon Mr. Heitzman’s testimony at trial and the evidence in the record directly contradicting allegations in the letter, we give the letter no credence.Page: Previous 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 Next
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