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A taxpayer may be considered for relief under section
6015(f) when relief is not available under section 6015(b) or
(c).5 Sec. 6015(f)(2). Section 6015(f)(1) provides that a
taxpayer may be relieved from joint and several liability if it
is determined, after considering all the facts and circumstances,
that it is inequitable to hold the taxpayer liable for the unpaid
tax. This Court reviews the Commissioner’s denial of relief
pursuant to section 6015(f) under an abuse of discretion
standard. Butler v. Commissioner, 114 T.C. 276, 287-292 (2000).
The Court defers to the Commissioner’s determination unless it is
arbitrary, capricious, or without sound basis in fact. Jonson v.
Commissioner, 118 T.C. 106, 125 (2002), affd. 353 F.3d 1181 (10th
Cir. 2003). Whether the Commissioner’s determination constitutes
an abuse of discretion is a question of fact. Cheshire v.
Commissioner, 115 T.C. 183, 198 (2000), affd. 282 F.3d 326 (5th
Cir. 2002). The requesting spouse bears the burden of proving
4(...continued)
Stat. 3061, amended sec. 6015(e)(1) to give the Tax Court
jurisdiction to determine the appropriate relief available to a
taxpayer under sec. 6015, including relief under sec. 6015(f) in
cases where no deficiency has been determined for the tax year.
The amendment applies with respect to liability for taxes arising
or remaining unpaid on or after Dec. 20, 2006, the date of
enactment, and thus it applies here. See Schmick v.
Commissioner, T.C. Memo. 2007-220 n.1.
5 A prerequisite to granting relief under sec. 6015(b) or
(c) is the existence of a tax deficiency or, as referred to in
various cases, an “understatement of tax”. Sec. 6015(b)(1)(B)
and (c)(1); Block v. Commissioner, 120 T.C. 62, 65-66 (2003).
That requirement precludes petitioner from seeking relief under
sec. 6015(b) or (c) for 1998 and 1999 because no deficiencies
were asserted for those years.
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Last modified: November 10, 2007