- 3 - Honeycutt. The assessed deficiency and penalty were not paid by either petitioner or Mr. Honeycutt.2 Petitioner and Mr. Honeycutt were separated in 1992 and divorced sometime after 1992. Petitioner timely filed her individual Federal income tax return for the taxable year 1992, claiming a refund of $1,403. The refund was applied as an offset in partial payment of the outstanding 1979 joint tax liability. The transcript of account reflects the offset as a payment made April 15, 1993. After the offset of the overpayment in 1993, petitioner contacted respondent by telephone.3 Petitioner expressed the view that it was improper for respondent to offset her overpayment from her individual liability and apply the credit to a joint liability which was the responsibility of Mr. Honeycutt. There are no letters or other written documents in 2 Sec. 6015(g) governs the allowance of credits and refunds to the extent attributable to the application of sec. 6015. In general, sec. 6015 applies to any liability for tax arising on or before July 22, 1998 but remaining unpaid as of such date. See Washington v. Commissioner, 120 T.C. 137, 153-154 (2003). In the present case, petitioner’s tax liability arose in 1979, but there remained an unpaid balance as of July 22, 1998, even after the application of the 1992 overpayment. Respondent’s records indicate an account balance of zero as of Nov. 25, 2002, because the period of limitations on collection expired on the outstanding balance. However, since there was an unpaid balance as of July 22, 1998, we conclude that petitioner may avail herself of sec. 6015. 3 There are some vague statements by petitioner of a letter written to respondent after the offset but there is nothing specific in this record reflecting that letters were sent.Page: Previous 1 2 3 4 5 6 7 Next
Last modified: May 25, 2011