Julian O. Von Kalinowski and Penelope J. Von Kalinowski - Page 13

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          We have found that petitioners filed a joint return for each of             
          the years in issue, and respondent concedes that there was an               
          understatement of tax attributable to Mr. Von Kalinowski.                   
          Accordingly, we shall address whether petitioner lacked actual              
          and constructive knowledge of the understatements as required by            
          section 6015(b)(1)(C) as well as whether it is inequitable to               
          hold petitioner liable for the understatements as required by               
          section 6015(b)(1)(D).  Petitioner carries the burden of proof as           
          to each of these elements.  See Rule 142(a).                                
          B.   Relation Between Sec. 6015(b)(1) and Former Sec. 6013(e)               
               Before delving into the particulars of section 6015(b)(1),             
          we pause to note its relation to former section 6013(e).  In                
          1971, Congress enacted section 6013(e) in order to correct                  
          perceived grave injustices resulting from the imposition of joint           
          and several liability.  See S. Rept. 91-1537, at 2 (1970), 1971-1           
          C.B. 606, 607; see also Act of Jan. 12, 1971, Pub. L. 91-679,               
          sec. 1, 84 Stat. 2063 (enacting sec. 6013(e)), as amended by the            
          Deficit Reduction Act of 1984, Pub. L. 98-369, sec. 424, 98 Stat.           
          494, 801.  Section 6013(e), as amended, provided that a spouse              
          could be relieved of joint and several liability if the spouse              
          proved that:  (1) A joint income tax return was filed; (2) the              
          return contained a substantial understatement of tax attributable           
          to grossly erroneous items of the other spouse; (3) in signing              
          the return, the relief-seeking spouse did not know, and had no              

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