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amended joint return. A portion of the $288,000 gain that was
reported on Schedule D was offset by a long-term capital loss
carryover of $166,865 and a short-term capital loss carryover of
$6,870. Petitioner and Apostle had reported a long-term capital
loss carryover of only $51,865 on Schedule D of their original
joint return. As a result of including the $288,000 gain on
Schedule D, petitioner and Apostle reported total income of
$165,894. Based upon this amount of total income, the total tax
shown on the first amended joint return was $39,047. After
subtracting the amount of Federal income tax withheld during 1989
and adding back the refund requested on the original joint
return, petitioner and Apostle owed income tax on the first
amended joint return in the amount of $36,171.
Apostle signed and filed the first amended joint return
while petitioner was in California. Before leaving for
California, however, petitioner signed a blank check for Apostle
to use to pay the income tax liability reported on the first
amended joint return. This check was made payable to the
Internal Revenue Service (IRS) in the amount of $36,171 on
June 12, 1992. Petitioner also paid $8,690 of interest on the
past due taxes shown on the first amended joint return on
August 21, 1992. Even though petitioner made these payments, she
did not request that Apostle show her the first amended joint
return until May 1994.
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