- 9 -
grossly erroneous items of the other spouse; (3) in signing the
return, the spouse seeking relief did not know, and had no reason
to know, of the substantial understatement; and (4) under the
circumstances it would be inequitable to hold the spouse seeking
relief liable for the substantial understatement.
Relief under section 6013(e) was difficult for many
taxpayers to obtain. In 1998, Congress repealed section 6013(e)
and enacted section 6015 in order to make relief from joint
liability more accessible. Internal Revenue Service
Restructuring and Reform Act of 1998, Pub. L. 105-206, sec.
3201(a), 112 Stat. 734; H. Conf. Rept. 105-599, at 249 (1998),
1998-3 C.B. 747, 1003. Section 6015 provides three avenues of
relief from joint and several liability: (1) Section 6015(b)(1)
(which is similar to former section 6013(e)) allows a spouse to
escape joint and several liability; (2) section 6015(b)(2) and
(c) allows a spouse to be relieved from a portion of the
understatement or deficiency; and (3) section 6015(f) confers
upon the Secretary discretion to grant equitable relief in
situations where relief is unavailable under section 6015(b) or
(c). Section 6015 generally applies to any liability for tax
arising after July 22, 1998, and any liability for tax arising on
or before July 22, 1998, that remains unpaid as of such date. H.
Conf. Rept. 105-599, supra at 251, 1998-3 C.B. at 1005.
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