Yvonne C. Lopez - Page 12

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          no longer has any credit cards.  Petitioner’s reported assets               
          consisted of a 1999 model Kia Sophia,10 a “402B” account                    
          established through her employer,11 and her home.                           
               Petitioner purchased her home on February 1, 1999.  As of              
          February 16, 2004, the value of the home was $111,500.                      
          Petitioner purchased the home from her parents for $98,000.  She            
          obtained a $78,000 mortgage and made a $20,000 downpayment, the             
          funds for which were given to her by her parents.  She                      
          subsequently refinanced her mortgage, and its balance as of                 
          February 2004 was $101,000.  Petitioner contends she did not use            
          the gift from her parents or the money she received from the                
          refinancing to pay the tax liabilities because “my ex-husband is            
          supposed to pay it.  I’m not.”                                              
               Petitioner testified that her situation has changed since              
          2000 in that she no longer has credit card debt, has refinanced             
          her home, and is now caring for a blind uncle, but that her                 
          situation is otherwise the same as when she filed the Form 433-A.           
          Petitioner contends it would be a hardship for her to pay the tax           
          liabilities because of her mortgage payments and the expense of             
          caring for her uncle.  She did not introduce into evidence any              
          financial records regarding her current salary, basic living                


               10Petitioner reported that her Kia Sophia was worth $5,500             
          and that she had a $3,500 liability with respect to the car.                
               11The record is silent as to the value of the 402B account.            





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