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for the years 1989-94, which the Commissioner considered and
denied in 2002. He based his decision on Linda’s having reason
to know of the embezzlement and receiving a significant benefit
from it. Linda does not appeal his denial of relief for tax
years 1989 and 1994--there was neither an understatement nor an
underpayment of taxes for those years, one of which must be
present for her to qualify for relief under section 6015--but did
petition the Tax Court for review of his denial of relief for
1990-93. The case was tried in Lubbock. The Haltoms remain
married and have always been residents of Texas.
OPINION
Spouses who sign joint returns are jointly and severally
liable for their accuracy and the full tax shown. See sec.
6013(d)(3). Section 6015, however, provides relief from that
liability to qualifying “innocent spouses,” and Linda asks for
relief under subsections 6015(b) and (f). These subsections
address the same general problem but differ in important ways.
Relief under subsection (f) is available for a spouse who shows
that "taking into account all the facts and circumstances, it is
inequitable to hold [her] liable for any unpaid tax or any
deficiency (or any portion of either)." Success in our Court
under this subsection depends on proof that the Commissioner
abused his discretion in denying relief. Subsection (f) cases
rarely depend on one factor alone--even though the Commissioner
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Last modified: May 25, 2011