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circumstances”. Sec. 6015(b)(1)(D). The most often cited
material factors to be considered are (1) whether there has been
a significant benefit to the spouse claiming relief, and (2)
whether the failure to report the correct tax liability on the
joint return results from concealment, overreaching, or any other
wrongdoing on the part of the other spouse. Jonson v.
Commissioner, 118 T.C. 106, 119 (2002).
It is clear that the tax savings were beneficial to both
petitioner and Dr. Alt. Petitioner and Dr. Alt were able to
purchase various properties during the years at issue. For
example, petitioner and Dr. Alt purchased homes for each of their
children. Petitioner and Dr. Alt also purchased a 600-acre
riverfront property upon which a Georgian mansion was being
built. Further, petitioner and Dr. Alt were able to purchase a
business for their son and fully pay for their children to attend
undergraduate and graduate schools. Petitioner and Dr. Alt were
also able to indulge petitioner’s interest in antiques. These
purchases obviously benefited petitioner.
It is also clear that there was no concealment on Dr. Alt’s
part. Petitioner made deposits for Dr. Alt and Karen. Further,
petitioner was fully aware that Karen was involved in her
financial affairs. Petitioner presented no evidence that Dr. Alt
ever attempted to deceive her with respect to their financial
affairs.
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