Dempsie Word - Page 4




                                        - 3 -                                         
          only $1,350, leaving a remaining tax of $2,633.  The remaining              
          amount does not include the interest and penalties that had been            
          assessed or accrued.                                                        
               The deficiency of $3,983 is attributable to a disallowed               
          earned income credit of $2,447, a $1,536 deficiency attributable            
          to Mae E. Word’s unreported wages of $4,960, unreported gambling            
          income of $3,400, and petitioner’s unreported pension income of             
          $1,149.  The parties agree that petitioner is entitled to relief            
          of only $1,350 pursuant to section 6015(c).  After application of           
          section 6015(c), petitioner is liable for $2,404 in income tax              
          for 1996.2  Further, after applying section 6015(c), respondent             
          has conceded that there is no addition to tax pursuant to section           
          6651(a)(2).                                                                 
                                     Discussion                                       
               In general, spouses filing joint Federal income tax returns            
          are jointly and severally liable for all taxes due.  Sec.                   
          6013(d)(3).  Under certain circumstances, however, section 6015             
          provides relief from this general rule.  Respondent has granted             
          partial relief pursuant to section 6015(c).  Petitioner remains             
          liable for the tax attributable to the disallowed earned income             
          credit and the unreported pension income and for the interest               
          thereon.  See Weiler v. Commissioner, T.C. Memo. 2003-255.                  


               2  Petitioner had $229 of income tax withheld from his                 
          pension.                                                                    






Page:  Previous  1  2  3  4  5  6  Next 

Last modified: March 27, 2008