- 7 -
relief is not available under section 6015(b) or (c), an
individual may seek equitable relief under section 6015(f).
Res Judicata Under Section 6015(g)(2)
The judicial doctrine of res judicata provides that, when a
court of competent jurisdiction enters a final judgment in a
cause of action, the parties are bound “not only as to every
matter which was offered and received * * * but as to any other
admissible matter which might have been offered for that
purpose.” Commissioner v. Sunnen, 333 U.S. 591, 597 (1948).
Because Federal income taxes are determined on an annual basis,
each year is a separate cause of action, and res judicata is
applied to bar subsequent proceedings involving the same tax
year. See id. at 597-598; Calcutt v. Commissioner, 91 T.C. 14,
21 (1988). The doctrine applies to judgments even where the
Court’s final decision was based on an agreement between the
parties. See United States v. Bryant, 15 F.3d 756, 758 (8th Cir.
1994) (citing United States v. Intl. Bldg. Co., 345 U.S. 502, 505
(1953)).
Respondent argues that petitioner is barred from raising the
issue of section 6015 relief based on her prior participation in
a Tax Court proceeding regarding the 1994 liability. Section
6015(g)(2) provides that, in the case of an election under
section 6015(b) or (c) for any taxable year that is the subject
of a final court decision, such decision shall be conclusive
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 Next
Last modified: May 25, 2011