- 15 - 84% of the total income for the year even though Motsko argues that he never saw a penny from the lowboy sale. The agent seems to have concluded that Motsko earned all revenue coming from Evergreen Trucking and Manns earned everything that come from the Hydraulics Center. This is questionable--the couple seemed to divide the labor in both businesses fairly equally. Even though we acknowledge that Motsko may just be an employee of the Hydraulics Center instead of a partner, the fact remains that the revenue agent attributed all the income from the Hydraulics Center to Manns. Neither of the parties provided us with evidence to rebut the revenue agent’s conclusion. What we do know, however, is that at least part of the taxes due can be attributed to the income-producing activities of Motsko. Thus, this factor weighs against relief. Payment responsibility: Motsko and Manns did not have a final divorce decree when the case was tried, so this factor is neutral. Other Factors: Motsko also urges us to consider Manns’s sole responsibility for the tax crimes stemming from their returns as a positive factor. While we encourage all taxpayers to avoid indictment, we also think doing so should be presumed rather than rewarded as a positive factor in seeking innocent spouse relief.8 8 In Ewing, we did state that failure to “participate in any wrongdoing”--at least when that wrongdoing was concealed from the (continued...)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