Francine Edwards - Page 4

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          Contracts, etc.  Respondent initiated an examination based on the           
          third party payer reports.                                                  
               During the examination, petitioner’s former spouse filed a             
          Form 8857, Request for Innocent Spouse Relief, and respondent               
          granted his request pursuant to section 6015(c).  The former                
          spouse was relieved from joint and several liability with respect           
          to the deficiency.  Thereafter, respondent issued a notice of               
          deficiency to petitioner, determining a $3,784 deficiency.                  
          Petitioner has since conceded that she received and failed to               
          report the items of income.                                                 
               Generally, the Commissioner’s determinations in a notice of            
          deficiency are presumed correct, and the taxpayer has the burden            
          to prove that the determinations are in error.  See Rule 142(a);            
          Welch v. Helvering, 290 U.S. 111, 115 (1933).  But the burden of            
          proof on factual issues that affect a taxpayer’s tax liability              
          may be shifted to the Commissioner where the “taxpayer introduces           
          credible evidence with respect to * * * such issue.”  See sec.              
          7491(a)(1).  The burden will shift only if the taxpayer has                 
          complied with the substantiation requirements and has cooperated            
          with the Commissioner’s reasonable requests for witnesses,                  
          information, documents, meetings, and interviews.  See sec.                 
          7491(a)(2).  Petitioner has not alleged or proven that section              
          7491(a) applies; accordingly, the burden remains on her.                    

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