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in the notices of deficiency. The issue of petitioner’s
entitlement to relief from joint and several liability was not
raised in the petitions. In his answers, respondent denied the
allegations contained in the petitions. The issue of
petitioner’s entitlement to relief under section 6015 was not
formally before the Court until February 2, 1999, when the
amended petitions were filed. Rule 34(b); Barbour v.
Commissioner, T.C. Memo. 2000-256.
We have previously adopted an issue-by-issue approach to the
awarding of costs under section 7430, apportioning the requested
award among the issues according to whether the position of the
United States was substantially justified. Swanson v.
Commissioner, 106 T.C. 76, 102 (1996); O’Bryon v. Commissioner,
T.C. Memo. 2000-379; see also Powers v. Commissioner, 51 F.3d 34,
35 (5th Cir. 1995). We follow that approach here and separately
discuss whether respondent’s position was substantially justified
with respect to: (1) The issues respondent conceded before
trial; (2) the issues respondent conceded after trial; and (3)
respondent’s denial of relief under section 6015(b), (c), and (f)
for the remaining deficiencies, additions to tax, and penalties
which were the subject of our Memorandum Opinion in Rowe I.
A. Respondent’s Concessions in Answers to Amended
Petitions
Respondent’s answers to the amended petitions were filed on
March 31, 1999. In his answers, respondent conceded that
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