Stacy Lee Gonce - Page 8




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          equitable relief from liability on a joint return for tax owed on           
          income attributable to the nonrequesting spouse.  See Rev. Proc.            
          2003-61, 2003-2 C.B. 296.  Rev. Proc. 2003-61, sec. 4.02, 2003-2            
          C.B. 298, provides in relevant part that relief ordinarily will             
          be granted to a requesting spouse with regard to underpayments of           
          tax attributable to the nonrequesting spouse if three criteria              
          are met.  The first criterion, that the requesting spouse is no             
          longer married to or is legally separated from the nonrequesting            
          spouse or is not a member of the same household at any time                 
          during the 12 months prior to the request for relief, is                    
          satisfied in this case.                                                     
               The second criterion, that, at the time the joint return was           
          signed, the requesting spouse had no knowledge or reason to know            
          that the tax would not be paid and that it was reasonable to                
          believe that the nonrequesting spouse would pay the liability, is           
          not satisfied in this case.  Petitioner and Mr. Gonce reported              
          underpayments on their 2000 and 2001 Federal tax returns, both of           
          which were signed by petitioner, of $1,188 and $2,528,                      
          respectively.  When those returns were filed, petitioner knew               
          that Mr. Gonce always bought on credit and that she and Mr. Gonce           
          spent more than they made.  Petitioner has not shown that it was            
          reasonable to rely on Mr. Gonce to pay the tax due for those                
          years.                                                                      








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