Eleanor Simon - Page 16

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          tion of $40,420 is not income for 1998 and should not have been             
          included in the 1998 return.                                                
                                       OPINION                                        
               We review respondent’s denial of relief under section                  
          6015(f) for abuse of discretion.7  Butler v. Commissioner, 114              
          T.C. 276, 292 (2000).  Petitioner bears the burden of proving               
          that respondent abused respondent’s discretion in denying that              
          relief.8  See Jonson v. Commissioner, 118 T.C. 106, 125 (2002),             
          affd. 353 F.3d 1181 (10th Cir. 2003).                                       
               Section 6015(f) grants respondent discretion to relieve an             
          individual who files a joint return from joint and several                  
          liability with respect to that return.  That section provides:              
                    SEC. 6015(f).  Equitable Relief.--Under procedures                
               prescribed by the Secretary, if--                                      
                         (1) taking into account all the facts and                    
                    circumstances, it is inequitable to hold the indi-                
                    vidual liable for any unpaid tax or any deficiency                
                    (or any portion of either); and                                   



               7The Court’s jurisdiction in this case is dependent upon               
          sec. 6015(e)(1).  Ewing v. Commissioner, 118 T.C. 494, 498-507              
          (2002); see also Fernandez v. Commissioner, 114 T.C. 324, 330-331           
          (2000); Butler v. Commissioner, 114 T.C. 276, 289-290 (2000).               
               8We reject petitioner’s argument that respondent bears the             
          burden of proving under sec. 6015(f) that petitioner had knowl-             
          edge that the tax shown due in the 1998 return would not be paid.           
          Petitioner’s argument appears to confuse sec. 6015(f) with sec.             
          6015(c)(3)(C).  Respondent has the burden of proof under sec.               
          6015(c)(3)(C) with respect to whether the requesting spouse had             
          actual knowledge of the item giving rise to the deficiency.                 
          Culver v. Commissioner, 116 T.C. 189, 194-196 (2001).                       




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