Michael B. Butler and Jean Butler - Page 2




                                        - 2 -                                         
                    P contends that she is an innocent spouse pursuant to             
               sec. 6015(b)(1), I.R.C.  Additionally, P contends that it              
               was an abuse of R's discretion not to allow equitable relief           
               pursuant to sec. 6015(f), I.R.C.  Alternatively, P contends            
               that she is entitled to proportionate relief, pursuant to              
               sec. 6015(b)(2), I.R.C., for a portion of the omitted                  
               income.  P contends that the Tax Court has jurisdiction to             
               review R's determination that P is not entitled to equitable           
               relief pursuant to sec. 6015(f), I.R.C.  R contends that P             
               is not entitled to innocent spouse relief pursuant to either           
               sec. 6015(b)(1), I.R.C., or sec. 6015(f), I.R.C., and                  
               contends that we do not have jurisdiction to review R's                
               denial of relief pursuant to sec. 6015(f), I.R.C.                      
                    Held:  P had reason to know of the understatement                 
               on P's and H's joint return, and, therefore, P is not                  
               entitled to innocent spouse relief, pursuant to sec.                   
               6015(b)(1), I.R.C.                                                     
                    Held, further, P's motion to reopen the record to                 
               introduce evidence as to P's ability to qualify for                    
               proportionate innocent spouse relief pursuant to sec.                  
               6015(b)(2), I.R.C., is denied.                                         
                    Held, further, On the basis of the evidence in the                
               record, P is not entitled to proportionate innocent                    
               spouse relief pursuant to sec. 6015(b)(2), I.R.C.                      
                    Held, further, The Tax Court has jurisdiction to                  
               review for abuse of discretion R's decision to deny P's                
               request for equitable relief pursuant to sec. 6015(f),                 
               I.R.C.                                                                 
                    Held, further, R's denial of P's request for                      
               equitable relief was not an abuse of discretion.                       
                                                                                     

               Robert H. Culton II, for petitioners.                                  
               Michael D. Zima, for respondent.                                       


                                       OPINION                                        

               WELLS, Judge:  Respondent determined a deficiency in                   
          petitioners' Federal income tax for the taxable year 1992 in the            








Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  Next

Last modified: May 25, 2011