First Blood Associates, Richard M. Greenberg, Tax Matters Partner, et al. - Page 12

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          that section 301.6231(a)(12)-1T(a), Temporary Proced. & Admin.              
          Regs., 52 Fed. Reg. 6793 (Mar. 5, 1987), supersedes that rule by            
          providing that, with certain narrow exceptions, spouses holding a           
          joint interest are to be treated as two distinct partners.7   We            
          concluded our analysis as follows:                                          
               Because the focus in the bankruptcy rule is limited to the             
               partner's status as a debtor in bankruptcy, we are compelled           
               here to look only to petitioner's status, since she is the             
               only partner before us, and, although she is a partner, she            
               is not in bankruptcy.  Accordingly, we find the bankruptcy             
               rule to be inapplicable.  [Dubin v. Commissioner, supra at             
               334.]                                                                  
          Because the taxpayer was unaffected by the conversion of her                
          husband's partnership items we held the notice of deficiency                
          issued to the taxpayer to be invalid.                                       
               We recognize that Dubin v. Commissioner, supra, involved a             
          joint partnership interest arising under community property law,            
          thereby implicating different statutory and regulatory provisions           
          than those here at issue.  However, we see no meaningful                    
          distinction between the provisions applicable to a spouse whose             
          partner status derives from community property principles (viz, a           
          joint partnership interest) and a spouse who is deemed a partner            



               7                                                                      
                    Our decision in Dubin v. Commissioner, 99 T.C. 325,               
          333-334 (1992), reflected our interpretation that, for purposes             
          of the bankruptcy rule, the term "person" as used in sec.                   
          6231(a)(12) is synonymous with the term "partner" in sec.                   
          301.6231(a)(12)-1T(a), Temporary Proced. & Admin. Regs., 52 Fed.            
          Reg. 6793 (Mar. 5, 1987).                                                   




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