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thus no reason to convert her partnership items to nonpartnership
items and remove her from these proceedings.
In sum, Mrs. Scarfia may not harness the bankruptcy rule as
an expedient to ride Mr. Scarfia's coattails out of these TEFRA
proceedings. We hold that Mrs. Scarfia's partnership items did
not convert to nonpartnership items at the time that Mr.
Scarfia's partnership items converted to nonpartnership items
pursuant to the bankruptcy rule, and, therefore, she remains a
party subject to this Court's jurisdiction.
Allocation of Partnership Items
By amended petitions the Scarfias request that this Court
determine the proper allocation of partnership items between
them.9 Mrs. Scarfia maintains that, even if she remains a party
to these proceedings, her joint and several liability neither
endows her with a separate ownership interest in Mr. Scarfia's
partnership investment nor creates partnership items allocable to
her. Thus, she requests that we allocate 100 percent of the
partnership investment to Mr. Scarfia and zero percent to her.
Nothing in either the bankruptcy rule or the statute allows
such an allocation of partnership items between spouses.
9
Sec. 6226(f) vests this Court with subject matter
jurisdiction to determine all partnership items of the
partnership for the partnership taxable year to which the FPAA
relates and the proper allocation of such items among the
partners.
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