- 4 -
payments to the United States and was not subject to withholding
in 1995. Petitioner and Mr. Wiwi filed a joint Federal income
tax return for 1995. On that return, they reported Federal
income tax withheld on petitioner’s wages of $10,862 and
additional tax due of $6,220. However, they paid only $1,620
with their return; petitioner paid $1,069, and Mr. Wiwi paid
$551. As a result of withholding and the payment with the
return, petitioner paid an amount equal to the tax on her income,
but Mr. Wiwi paid less than the tax due on his income.
Mr. Wiwi told petitioner (and she reasonably believed) that
he would pay the unpaid 1995 tax as provided in a proposed
installment agreement that he submitted with their 1995 income
tax return. Mr. Wiwi failed to pay the remaining 1995 tax, but
he concealed that fact from petitioner until 1998. Early in
1999, he filed an offer in compromise in which he said he could
not pay the unpaid tax for 1995.
4. Petitioner’s Finances
Petitioner and Mr. Wiwi have always kept their finances
separate. Petitioner paid her own expenses (including Federal
income tax on her income) beginning before they were married and
continuing until the time of trial. Petitioner paid at least
half of their household expenses from the date they were married
until 1997. Mr. Wiwi began having medical problems in 1996. He
lost his license to sell securities in 1997, and his income
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011