- 6 -
their 1996 tax return. When she did finally prepare and file it
in October 1997, the return reported taxes and penalties due of
$45,172. By then, she had already pleaded guilty and been
sentenced. And Motsko had by then read her letter accepting
responsibility for her actions. But even then, he still relied
on her to run the finances. In answering his lawyer’s question
about whether he was aware of the amount of tax due when he
signed the return, Motsko testified:
Yes, I remember when I signed the taxes that,
you know, I remember being it was a big sum,
and what I do remember is I asked Cheryl
about it, and Cheryl says, she says, well,
I’ve got a check in. She said I’m going to
be incarcerated, she said, so I can’t do
nothing about it until I get back, and that’s
where it - it’s it, that’s where it was.
The 1993 and 1996 returns were never audited, and the
Commissioner accepted them as filed. The IRS started a
collection action against Motsko and Manns in July 1998, and
filed liens against their assets in October 1999. In November
1999, Motsko filed for innocent spouse relief for 1993 and 1996.
After the Commissioner denied it, Motsko petitioned this Court to
review the Commissioner’s decision. The case was tried in
Alaska, where Motsko resided when he filed his petition. Manns
intervened, believing that Motsko should remain liable with her
for the unpaid 1993 and 1996 taxes.
Discussion
A married couple can choose to file their Federal tax
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Next
Last modified: May 25, 2011