Mary Elizabeth Cumings - Page 12




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              While we are sympathetic to petitioner’s situation with her             
         former husband, we cannot find that respondent abused his                    
         discretion in determining that petitioner had reason to know at              
         the time she signed the return that the tax liability would not              
         be paid.  Petitioner has not established that it was reasonable              
         for her to believe Mr. Parker would pay the liability.  We                   
         conclude, therefore, that respondent did not abuse his discretion            
         in determining that petitioner did not satisfy the knowledge or              
         reason to know element of Rev. Proc. 2003-61, sec. 4.02, and thus            
         does not qualify for equitable relief under that section of the              
         revenue procedure.                                                           
         C.   Rev. Proc. 2003-61, Sec. 4.03                                           
              Where the requesting spouse fails to qualify for relief                 
         under Rev. Proc. 2003-61, sec. 4.02, the Commissioner may                    
         nonetheless grant relief under Rev. Proc. 2003-61, sec. 4.03,                
         2003-2 C.B. at 298-299.  Rev. Proc. 2003-61, sec. 4.03, provides             
         that, where the seven threshold conditions have been satisfied               
         and the requesting spouse does not qualify for relief under Rev.             
         Proc. 2003-61, sec. 4.02, equitable relief may be granted under              
         section 6015(f) if, taking into account all facts and                        
         circumstances, it is inequitable to hold the requesting spouse               
         liable.  Rev. Proc. 2003-61, sec. 4.03, contains a list of                   
         factors that the Commissioner will take into account in                      
         determining, on the facts and circumstances, whether to grant                







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