- 13 -
is attributable solely to the underpayment of tax upon
filing the tax return, plus interest and penalties.
IRC � 6015(f)
IRC � 6015(f) provides the IRS with the discretion to
grant equitable relief where a taxpayer is not entitled
to relief under either IRC � 6015(b) or (c). Equitable
relief under IRC section 6015(f), however, is subject
to two limitations in accordance with - Revenue Proce-
dure 2000-15, 2000-1 CB 447, Section 4.02:
If the return has been adjusted to reflect an
understatement, relief will be available only to
the extent of the liability shown on the return
prior to the adjustment, or
If no adjustment is made, relief is limited to the
extent the unpaid liability is due to the non-
requesting spouse.
Explanation of IRC � 6015(f)
In Revenue Procedure 2000-15, the IRS delineates quali-
fications necessary to be granted equitable relief
under IRC � 6015(f). Threshold eligibility qualifica-
tions are:
Joint return filed
Timely filed claim for relief
Relief not available under other sections of the
statute
There was no transfer of assets between spouses as
part of a fraudulent scheme
Return was not filed with fraudulent intent on the
part of the requesting spouse
Liability remains unpaid
No disqualified assets transferred to requesting
spouse. If so, relief only available to the ex-
tent that the liability exceeds the value of the
transferred assets.
Nonetheless, under section 4.03 of Revenue Procedure
2000-15, relief is still possible for requesting
spouses who meet the threshold eligibility requirements
above, but do not otherwise qualify for relief under
any other sections. This last relief provision is only
available where it would be inequitable to hold the
requesting spouse liable for the understatement. Under
Page: Previous 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 NextLast modified: May 25, 2011