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Respondent did not contest that petitioner met these seven
threshold conditions.
Once petitioner has satisfied the threshold conditions, Rev.
Proc. 2003-61, sec. 4.03(2), 2003-2 C.B. at 298,18 then provides
a “nonexclusive list of factors” that the Commissioner “will
consider in determining whether, taking into account all the
facts and circumstances, it is inequitable to hold the requesting
spouse liable for all or part of the unpaid income tax
liability”. No single factor will determine whether equitable
relief will be granted in any particular case, and the
Commissioner will consider and weigh all relevant factors
regardless of whether or not the factor is listed in Rev. Proc.
2003-61, sec. 4.03. Rev. Proc. 2003-61, sec. 4.03(2)(a) provides
the following factors that may be relevant to whether the
Commissioner will grant equitable relief: (1) Marital status,
(2) economic hardship, (3) knowledge or reason to know that the
nonrequesting spouse would not pay the liability, (4) the
nonrequesting spouse’s legal obligation, (5) significant benefit,
(6) compliance with income tax laws, (7) abuse, and (8) mental or
physical health. Certain factors, specifically abuse or mental
or physical health, will weigh in favor of granting equitable
relief; however, they will not weigh against equitable relief if
18 Rev. Proc. 2003-61, sec. 4.03 applies to a spouse who
meets the conditions of sec. 4.01, but not sec. 4.02.
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