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1. Section 6015(b)
Section 6015(b) provides relief from joint and several
liability for tax (including interest, penalties, and other
amounts) to the extent that such liability is attributable to an
understatement of tax. To be eligible for relief, the requesting
spouse needs to satisfy the following five elements of section
6015(b)(1):
(A) A joint return has been made for a taxable year;
(B) on such return there is an understatement of tax
attributable to erroneous items of one individual filing the
joint return;
(C) the other individual filing the joint return
establishes that in signing the return he or she did not know,
and had no reason to know, that there was such an understatement;
(D) taking into account all the facts and circumstances, it
is inequitable to hold the other individual liable for the
deficiency in tax for the taxable year attributable to the
understatement; and
(E) the other individual makes a valid election.
Petitioner seeks relief under section 6015(b) with respect
to respondent’s adjustments to the 1998 return for unreported
unemployment compensation of $294, disallowed itemized deductions
of $7,400, and disallowed Schedule C deductions of $27,749.
However, petitioner cannot be granted relief for understatements
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Last modified: May 25, 2011