Tracy L. Geaccone - Page 12




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            Where, as here, the requesting spouse meets the five threshold            
       conditions set forth in Rev. Proc. 2003-61, sec. 4.01, we employ a             
       balancing test to determine whether, taking into account all the               
       facts and circumstances, it would be inequitable to hold the                   
       requesting spouse liable for all or part of the unpaid liability.              
       Id. sec. 4.03, 2003-2 C.B. at 298.  We begin by considering                    
       petitioner’s request for relief in the light of six factors listed             
       in the revenue procedure.  A description of each factor,                       
       underscored, and our application of that factor to the facts of                
       this case, follows.5                                                           
            (a) Marital status.  The requesting spouse is separated or                
       divorced from the nonrequesting spouse.  The parties agree that                
       petitioner is divorced from Dr. Geaccone.  This factor weighs in               
       petitioner’s favor.                                                            
            (b) Economic hardship.  The requesting spouse will suffer                 
       economic hardship if relief from the liability is not granted.                 
       Petitioner did not present any evidence tending to show that she               
       would suffer economic hardship if relief from liability were not               
       granted.  We note that petitioner earned substantial income in                 


               5These six factors are found in Rev. Proc. 2003-61, sec.               
          4.03(2)(a), 2003-2 C.B. at 298.  Additional factors that, if                
          present, will weigh in favor of relief but will not weigh against           
          equitable relief if not present in a case are found in Rev. Proc.           
          2003-62, sec. 4.03(2)(b), 2003-2 C.B. at 299.  Neither of those             
          factors, pertaining to abuse and mental or physical health, is              
          present in this case.                                                       






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