# PURSUANT TO INTERNAL REVENUE CODE SECTION 7463(b),THIS OPINION MAY NOT BE TREATED AS PRECEDENT FOR ANY OTHER CASE.T.C. Sum m ary Opi ni on 20 14 -3 2

UNITED STAT ES TAX COURT
RONALD ARTHUR RASCHKE, Peti ti on er, AND SUSANNAH JULIETTE RASCHKE, Int erv en orv. COMM ISSI ONER OF INTERNAL REVENUE, Resp on de nt

Doc ke t No . 22 79 -1 3S
. Fi le d Ap ril 7, 2 01 4.

Ro na ldArth ur

Ras ch ke , pro se. Su sa nn ahJu li et te Ras ch ke , pro se. Ali ci a A. Mazu rek , forres po nd en t.

SUMM ARY OPINION ARMEN, Sp eci al Trial Ju dg e: Thi s ca se was h eardpu rs ua ntto th e pr ov is io ns of s ect io n 7 46 3( f)(1 ) of th e In te rn al Rev en ue Co de ineffe ctwhenth e- 2 -

pe ti ti on was fi le d. Pur su an t t o s ect io n 7 46 3( b) , th e d eci si onto be en te redis no t 1
rev ie wab le by any

ot he r co urt, an d thi s o pi ni on sh al l n otbe tre at edas p rece de nt fo r an y ot he r cas e. By fin al no ti ce o f de te rm in at io n d at edDecem be r 18 , 20 12 , res po nd en t de ni edpe ti ti on er’s cl ai m

forrel ie f fro m

joi ntan d s ev eral li ab il it y wit h re ga rdto Fed eral in co m e ta x fo r 20 09 . Peti ti on er t im el y fil eda pe ti ti on wit h t hi s C ou rt un de r se ct io n 6 01 5( e) fo r rev ie w of re sp on de nt ’s det erm in at io n. Th erea fte r, pe ti ti on er’s fo rm er s po us e fi le d ano ti ce t o i nt erv en e p ur su an t t o R ul e 3 25 (b ) to op po se an y

rel ie f to pe ti ti on er u nd er s ect io n 6 01 5. The so le is su e fo r de ci si on is whet he r pe ti ti on er i s en ti tl edto rel ie f fro m joi ntan d s ev eral li ab il it y un de r se ct io n 6 01 5 fo r 20 09
. 2

Unl es s o th erwi se in di cat ed , all subs eque ntsec ti on refe ren ces are t o t he 1 In te rn al Rev enue Co de in effe ctat a ll rel ev an t t im es , andall Ru le refe ren ces are t o th e Tax Co urt Ru le s o f Prac ti ce an d P ro cedur e. At tria l p et it io ne r an d re sp on de ntst ip ul at edth atpe ti ti on er i s en ti tl edto 2 pa rti al rel ie f, i.e., fo r th e p orti on of t he tax de fic ie nc y att rib ut ab le to th e un rep orte d i nc om e o f in te rv en or . Peti ti on er ar gu es th athe sh ou ldbe gra nt edful l rel ie f, i.e., n oton ly for the po rti on of the tax de fic ie nc y att rib ut ab le to in te rv en or ’s un rep orte d i nc om e b utals o fo r th e p orti on att rib ut ab le to hi s o wn u nr ep orte d in co m e. Inco ntras t, i nt erv en orarg ue s t ha t p et it io ne r sh ou ldno t b e g ran te d a ny rel ie f wha ts oe ve r.- 3 - Bac kg ro un d So m e o f th e fac ts ha ve be enst ip ul at edan d a re s o fo un d. Th e st ip ul at io n o f fact s, the st ip ul at io n o f se tt le d i ss ue s, an d t he acco m pa nyin g e xh ib it s ar e in co rp or at edhe rei n b y

th is refe ren ce. Pet it io ne r res id edin th e St at e o f Mi ch ig an whe n the pe ti ti on was fi le d. Pet it io ne r an d i nt erv en orwere m arri edin 19 96 . Som et im e dur in g t he ir
m arri ag e, pe ti ti on er was di ag no se d wi th ch ro ni c o bs tru ct iv e p ul m on ary di se as e (COPD) a ndem

ph y se m a an d re ti redfro m work in g a s a t ru ckdri ve r. Subs eque nt ly, pe ti ti on er ap pl ie d fo r an d b eg anrece iv in g S oc ia l Se cu rity di sabi li ty be ne fit s. Dur in g 2 00 9 p et it io ne r rec ei ve d S oc ia l Se cu rit y di sabi li ty ben efi ts . Also du rin g 2 00 9 p et it io ne r m ai nt ai ne d a n i nd iv idua l re ti rem en t ac co un t (I RA) an d
rece iv edtax ab le di st rib ut io ns of $ 5,1 24
. Dur in g 2 00 9 i nt erv en orrece iv edin co m e fro m work in g a s a s al es cle rkfor Mei jer, Inc ., a lo cal ret ai l s to re. Sh e al so rece iv edin co m e o f $4 ,26 4 fr om de li ve rin g n ews pape rs forThe Sa le sm an , Inc ., a publ is he r of a week ly comm

un it y ne wsp ap er co ve rin g i te m s o f lo cal in te res t. At a ll rel ev an t t im es pe ti ti on er kne w th atin te rv en orwork edas asal es cle rkan d d el iv eredne wsp ap ers an d t ha t s he de riv edin co m e fro m

th os e act iv it ie s.- 4 -

Dur in g t he ir m arri ag e an d fo r ta x years b efo re 2 00 9 p et it io ne r an d in te rv en oralway s fi le d jo in t i nc om e ta x re tu rn s. In th atreg ardth ei r pr act ic e was to pre pa re the return b y

si tt in g d own to ge th er atho m e infro ntof t he co m pu te r wit h i nt erv en oren te rin g t he da taus in g re tu rnpre pa rat io n s of twar e an d the n fi li ng th e return e le ctro ni cal ly. On J an ua ry

25 , 20 10 , a joi ntin co m e ta x re tu rnforpe ti ti on er an d i nt erv en or was fil edele ctro ni cal ly from pe ti ti on er’s res id en ce fo r th e 2 00 9 t ax y ear. Th e return d idno t re po rt p et it io ne r’s IRA d is tri bu ti on s, n ordi d i t re po rt i nt erv en or ’s in co m e fro m

The Sa le sm an , Inc . The 20 09 return c la im eda refu ndof $ 2,2 12 . A Form 88 88 , Direc t Dep os it Of Refu ndTo Mo re Th anOne Acc ou nt , was at ta ch edto th e return. Pu rs ua ntto th atform , on e p orti on of t he cla im edrefu nd , $1 ,46 2, was de po si te d i nt o aba nk
acco un t m ai nt ai ne d s ol el y by int erv en or , andth e rem ai ni ng $7 50 was d ep os it ed in to an ot he r ba nkacco un t al so m ai nt ai ne d s ol el y by int erv en or . Neithe r of th es e acco un ts be lo ng edto or c ou ldbe acce ss edby pet it io ne r. By lat e Ja nu ary 20 10 pe ti ti on er b ecame aware th atth e 2 00 9 t ax return d id
no t re po rt t he di st rib ut io ns fro m hi s IRA or i nt erv en or ’s in co m e fro m The Sal es m an , Inc . Peti ti on er d idno t atan y ti m e at te m

ptto fil e a s ep arat e return,- 5 -

am en d t he 20 09 pu rp orte d jo in t re tu rn , con ta ctth e IRS , or s eekpro fes si on al tax ad vi ce. InMay 201 0 i nt erv en orfil edfordi vo rce f ro m pe ti ti on er. The di vo rce was fin al iz edin Feb ru ary 20 11 . The d iv or ce d ecre e d idno t i nc lu de an y pro vi si on th at ei th er p et it io ne r orin te rv en orha d t he leg al ob li ga ti on to pa y an y ou ts tand in g t ax li ab il it y . InApri l 2 01 1 re sp on de ntis su eda no ti ce o f de fic ie nc y to pe ti ti on er an d in te rv en orfor

20 09 . Neithe r pe ti ti on er n orin te rv en orfil eda pe ti ti on wit h t hi s Co urt i n re sp on se to th e n ot ic e, an d i n due co ur se th e d efi ci en cy was a ss es se d ag ai ns t b ot h o f th em . In20 11 pe ti ti on er re m arri ed . Peti ti on er’s n ew wife is a nu rs in g s tu de nt . In ad di ti on , hi s s te pd au gh te r li ve s wi th th e co up le , andhe supp orts th e h ou se ho ld
. Pet it io ne r rec ei ve s ap pr ox im at el y $2 4,0 00 pe r y ear, wh ic h a m ou ntin cl ud es hi s So ci al Secu rit y

di sabi li ty ben efi ts as we ll as i nc om e fro m pa rt- ti m e em pl oym en t as a pa rts in sp ect or . Peti ti on er’s ab il it y to fin d wo rkha s b een ne ga ti ve ly affect edby his COPD an d e m ph y se m a, as hi s l un g c ap aci ty on t he da te of tri al was o nl y

ab ou t 1 4%. InNov em

be r 20 11 pe ti ti on er fi le d aFo rm 88 57 , Reque stFo r In no cen t Sp ou se Rel ie f, fo r th e 2 00 9 t ax y ear. Re sp on de ntis su eda fi na l d et erm in at io n i n- 6 -

Decem be r 20 12 de nyin g p et it io ne r’s reque stforrel ie f. Pet it io ne r th enfil eda ti m el y pe ti ti on with t hi s C ou rt i n J anua ry 20 13
. In te rv en orfil eda no ti ce o f in te rv en ti onin Marc h 2 01 3 i n wh ic h s he
co nt en ds th atpe ti ti on er s ho ul d n otbe gra nt edrel ie f fro m joi ntan d s ev eral li ab il it y . As p rev io us ly not ed , pet it io ne r an d re sp on de ntst ip ul at edat t ria l t ha t pe ti ti on er i s en ti tl edto pa rti al rel ie f, i.e., fo r th e p orti on of t he tax de fic ie nc y at tri bu tabl e to in te rv en or ’s un rep orte d i nc om e fro m The Sa le sm an , Inc . Peti ti on er arg ue s t ha t h e sh ou ldals o g ran te d re li ef fo r th e p orti on of t he tax de fic ie nc y at tri bu tabl e to hi s u nr ep orte d i nc om e fro m hi s IRA di st rib ut io ns . In co nt ras t, in te rv en orarg ue s t ha t p et it io ne r sh ou ldno t b e g ran te d a ny reli ef wh at so ev er. Dis cu ss io n Marrie d t ax pa y ers m ay

ele ctto fil e a joi ntFed eral in co m e ta x re tu rn . Sec. 60 13 (a). Gen eral ly, each sp ou se fil in g t he return i s jo in tl y an d s ev eral ly liab le for th e en ti re t ax du e. Sec. 6 01 3( d) (3 ). Pur su an t t o s ect io n 6 01 5, h owe ve r, a ta xp ay er m ay see k re li ef fro m

joi ntli ab il it y . Pet it io ne r co nt en ds th athe is en ti tl edto rel ie f fro m joi ntan d s ev eral li ab il it y pu rs ua ntto sec ti on 60 15 (b ), (c), o r (f). Gen eral ly, th e sp ou se reque st in g re li ef be ars th e b ur de n o f pr oo f. See Ru le 14 2( a); Altv. Co m m is si on er, 1 19 T.C. 30 6,- 7 -

31 1 (2 00 2) , aff’d, 1 01 Fed . App x. 3 4 (6 thCir . 20 04 ). Howev er, t o t he ex te ntth at th e Co m m is si on er i s n o l on ge r an adve rs e p art y to th e ta xp ay er (h ere a s t o t he po rti onof t he tax de fic ie nc y att rib ut ab le to in te rv en or ’s un rep orte d i nc om e fro m The Sal es m an , Inc .) an d t he in te rv en orop po se s re li ef, the bu rd enof p ro of wou ld pr es um ab ly shi ft t o t he in te rv en or . See St erg io s v . Comm is si on er, T.C. Mem o. 20 09 -1 5, 2 00 9 WL 15 14 85 , at * 4 (c it in g Ki ng v. Co m m is si on er, 1 15 T.C. 11 8 (2 00 0) , andCo rs on v. Co m m is si on er, 1 14 T.C. 35 4, 3 63 (20 00 )). W e n eedno t de ci de whet he r th e b ur de n o f pr oo f sh ift s t o i nt erv en orin th e in st an t ca se be cau se we de ci de th e is su es by a prep on de ran ce o f th e ev id en ce. See Ste rg io s v . Co m m is si on er, T.C. Mem o. 2 00 9- 15 ; s ee al so Po rte r v. C omm is si on er, 1 32 T.C. 20 3, 2 10 (20 09 ) (h ol di ng th atinrev ie win g t he Co m m is si on er’s d et erm in at io n un de r se ct io n 6 01 5( b) , (c), o r (f), t he Co urt ap pl ie s a d e n ov o s ta nd ardof r ev ie w as well as ade no vo sco pe of r ev ie w). I. Jo in t Fe de ral Inc om e Tax Return fo r 20 09 Sect io n 6 01 3( a) p ro vi de s t ha t a h us ba ndan d wi fe m ay fil e a joi ntin co m e ta x re tu rn . Gene ral ly, a joi ntin co m e ta x re tu rnm us t b e si gn edby bot h s po us es . 3 Sec. 1 .60 13 -1 (a)( 2) , Inc om e Tax Reg s.
Becaus e th ei r di vo rce was no t fi na li zedun ti l 2 01 1, p et it io ne r an d 3 in te rv en orwere el ig ib le to fil e a joi ntreturn fo r 20 09
.- 8 -

Pet it io ne r arg ue s t ha t h e is no t l iabl e fo r ta x a ris in g fr om th e 2 00 9 p ur

po rte d joi ntreturn b ecau se itis no t h is return. Pe ti ti on er cl ai m s t ha t b ecau se in te rv en or fil edth e return wi th ou t h is kn owl ed ge or c on se ntan d wi th ou t h is si gn atur e, he
ne ve r acqui es cedto th e fi li ng of t he return. In te rv en orcla im s t ha t p et it io ne r was pr es en t wh il e sh e p rep aredth e return a ndth enfil editbu t t ha t h e d idno t g iv e h er in fo rm at io n re ga rd in g h is IRA d is tri bu ti on s fo r th e y ear. Whe th er an in co m e ta x re tu rnis a joi ntreturn o r a s ep arat e return o f th e ot he r sp ou se is a qu es ti on of f act . Harrin gt onv. Co m

m is si on er, T.C. Mem o. 20 12 -2 85 , at * 8 (c it in g Hei m v. Co m m is si on er, 2 7 T.C. 2 70 (19 56 ), aff’d, 2 51 F.2 d 4 4 (8 th Cir . 19 58 )) (i nv ol vi ng anele ctro ni cal ly file d re tu rn ). The de te rm in at iv e fac to r in de ci di ng whet he r a fi le d re tu rnqu al ifi es as ajoi ntreturn i s whe th er a h us bandan d wi fe i nt en de d t o fi le a joi ntreturn. Zie gl er v . Co m m is si on er, T.C. Mem o. 2 00 3- 28 2, 2 00 3 WL 22 25 56 64 , at * 3 n .4 (c it in g S to ne v. Co m m is si on er, 2 2 T.C. 8 93 (19 54 )). Inev al ua ti ng in te nt , th is Co urt h as co ns id eredwhet he r th e n on si gn in g s po us e fi le d asep arat e return, wh ethe r th e no ns ig ni ng sp ou se ob

jecte d t o t he joi ntfil in g, an d wh ethe r th e p rio r fi li ng hi st ory in di cat es anin te ntto fil e joi nt ly. Harri ng to n v . Comm is si on er, at*8
. Alt ho ug h t he Co m

m is si on er’s d et erm in at io n o f “ joi nt ne ss ” g en eral ly has a pr es um pt io n o f co rrec tn es s an d t he tax pa y er h as th e b ur de n o f pr ov in g i t wro ng ,- 9 -

W el ch v. Hel ve rin g, 2 90 U.S. 11 1, 1 15 (19 33 ), in th e cas e o f a s po us e who do es no t s ig n apu rp orte d jo in t re tu rnth e p res um pt io n i s re m ov edan d t he bu rd enof pr oduc in g a dd it io na l ev id en ce t ha t a jo in t re tu rnwas fi le d s hi fts to th e Co m m is si on er. O’Con no r v. C omm is si on er, 4 12 F.2d30 4, 3 09 (2dCir . 19 69 ), aff’g i n p art , rev ’g in pa rt T.C. M em o. 1 96 7- 17 4; Carr ic k v . Comm is si on er, T.C. Mem o. 1 99 1- 50 2. The re i s an ex cep ti on to th e g en eral rul e th at , to ha ve a va li d jo in t re tu rn , th e return m us t b e si gn edby bot h t ax pa y ers . This ex cep ti on ho ld s t ha t i f an “ in co m e ta x re tu rnis in te nd edby bot h s po us es as ajoi ntreturn, the ab se nc e o f th e si gn atur e o f on e sp ou se do es no t p rev en t t he ir i nt en ti onfro m be in g re al iz ed .” Est at e o f Cam

pb el l v . Comm is si on er, 5 6 T.C. 1 , 12 (19 71 ). The ru le is ge ne ral ly ap pl ie d wh enon e sp ou se si gn s a jo in t re tu rn(us ua ll y forbo th sp ou se s) an d i t i s sh own th atth e o th er s po us e h as tac it ly con se nt edto th e joi ntreturn fi li ng . This is
co m m on ly referre d t o a s t he tac itco ns en t ru le . See, e.g ., Henn env. Co m m is si on er, 3 5 T.C. 7 47 , 74 8 (1 96 1) ; Re ifl er v . Comm is si on er, T.C. Mem o. 20 13 -2 58 , at * 15 ; Harris v. Co m m is si on er, T.C. Mem o. 1 96 1- 32 4. Acco rd in gl y , alt ho ug h t he ul ti m at e b ur de n o f pr oo f rem ai ns wit h the ta xp ay er, the Co m

m is si on er b ears th e b ur de n o f go in g fo rwardwit h e vi de nc e fro m whi chth e Co urt co ul d c on cl ud e th atth e n on si gn in g s po us e in te nd edto fil e th e- 10 -

pu rp orte d jo in t re tu rn . Esp os it o v . Comm is si on er, T.C. Mem o. 1 99 1- 26 2 (c it in g Dou gl as s v . Comm is si on er, T.C. Mem o. 1 98 4- 36 9)
. Res po nd en t h as sat is fie d h is bu rd enof p ro du ct io n. Fi rs t, p et it io ne r di d n ot fil e (o r ev enin qu ire whet he r he was re qu ire d t o fi le ) a s ep arat e return fo r 20 09 , ev enth ou gh he ha d i nc om e fro m So ci al Secu rit y

di sabi li ty ben efi ts an d fr om IRA di st rib ut io ns . Seco nd , pet it io ne r an d i nt erv en orha d h is to ric al ly file d the ir F ed eral in co m e ta x re tu rn s as “ m arri edfil in g jo in tl y ”. Thi rd , by la te Jan ua ry 20 10 pe ti ti on er kne w th atanele ctro ni c return h adbe enfil ed , bu t h e d idno t at te m ptto di sa vo w it . Fin al ly, pe ti ti on er n ev er at te m pt edto am en d s uc h re tu rn , no r di d h e se ekpro fes si on al tax advi ce. In st eadpe ti ti on er t aci tl y co ns en te d t o t he joi nt return. Inli gh t o f th es e fac ts , pet it io ne r ha s n otsat is fie d h is bu rd enof
es tabl is hi ng th athe di d n otin te ndto fil e a joi ntreturn wi th in te rv en or . Co ns eque nt ly, th e return fi le d fo r 20 09 is a va li d jo in t re tu rn . The fac t t ha t t he return was si gn edele ctro ni cal ly doe s n otalt er thi s co nc lu si on . See, e.g ., Harri ng to n v . Comm is si on er, T.C. Mem o. 2 01 2- 28 5. II. Rel ie f Und er Se ct io n 6 01 5 As p rev io us ly stat ed , whena hu sb an d a ndwife ele ctto fil e a joi ntFed eral in co m e ta x re tu rnpu rs ua ntto sec ti on 60 13 (a), ea chsp ou se be co m es joi nt ly and
se ve ral ly liab le forth e ta x due on th e sp ou se s’ agg reg at e in co m e. See s ec.- 11 -

60 13 (d )(3 ). Neve rth el es s, an in di vi du al who ha s m ad e a joi ntreturn m ay ele ctto se ekrel ie f fro m

joi ntan d s ev eral li ab il it y un de r subs ect io ns (b) , (c), an d (f ) of
se ct io n 6 01 5. Se c. 60 15 (a), (f ). Suc h re li ef m ay , or m ay no t, b e av ai labl e de pe nd in g o n t he pa rti cu la r fac ts an d c irc um st an ces of t he in di vi du al ’s si tu at io n. A. Reli ef Un de r Sec ti on60 15 (b ) an d (c ) To qua li fy

forrel ie f pu rs ua ntto sec ti on 60 15 (b ), th e reque st in g s po us e m us t es tabl is h t ha t: (1) A join t re tu rnwas fi le d; (2) th ere was anun de rs ta te m en t o f ta x at tri bu tabl e to erro ne ou s i te m s o f th e n on reque st in g s po us e; (3) at t he ti m e o f si gn in g t he return, t he sp ou se see ki ng rel ie f di d n otkn ow an d d idno t h av e rea so n to kn ow o f th e u nd ers ta te m en t; (4) th e reque st in g s po us e so ug htrel ie f wit hi n t wo y ears of t he fir stco ll ect io n a ct iv it y rel at in g t o t he li ab il it y ; an d (5 ) ta ki ng in to acco un t al l t he fact s an d c irc um st an ces , itis in equi tabl e to ho ldth e sp ou se see ki ng rel ie f li ab le forth e d efi ci en cy in tax att rib ut ab le to th e u nd ers ta te m en t. Sec
. 60 15 (b )(1 ). Sect io n 6 01 5( c)(3 ) pe rm it s a r eque st in g s po us e to see k re li ef fro m joi ntor se ve ral li ab il it y

by elect in g t o a ll oc at e to th e n on reque st in g s po us e th e p orti on of a de fic ie nc y

att rib ut ab le to th e n on reque st in g s po us e if th e fo ll owi ng co nd it io ns are sa ti sf ie d: (1) A join t re tu rnwas fi le d; (2) at t he ti m e o f th e el ect io n, t he reque st in g sp ou se was s ep arat edor d iv or cedfro m th e n on reque st in g s po us e o r ha d n otbe ena- 12 -

m em be r of th e sa m e h ou se ho ldas t he no nr eque st in g s po us e atan y ti m e dur in g t he 12 -m on th pe rio d e nd in g o n t he da te of the reque stforrel ie f; ( 3) th e reque st in g sp ou se so ug htrel ie f withi n t wo years o f th e fi rs t co ll ect io n a ct iv it y ; an d (4 ) th e reque st in g s po us e d idno t h av e actua l kno wled ge , at t he ti m e o f si gn in g t he return, of th e n on reque st in g s po us e’s it em gi vi ng ris e to th e d efi ci en cy . 4 As d is cu ss edab ov e, pe ti ti on er an d i nt erv en orfil eda va li d jo in t Fe de ral in co m e ta x re tu rnfor20 09 . At th e ti m e th atth e return was si gn ed , pet it io ne r kn ew th atin te rv en orrece iv edin co m e in 20 09 fro m The Sa le sm an , Inc ., for de li ve rin g n ews pape rs , andhe lea rn edwit hi n afew d ay s t he reaf te r th atth e return di d n otin cl ud e th atin co m e. Acco rd in gl y , pet it io ne r is no t en ti tl edto rel ie f pu rs ua ntto sec ti on 60 15 (b ) or(c) fr om th e 2 00 9 l iabi li ty attr ib ut ab le to th e un rep orte d i nc om e al lo cab le to in te rv en or . B. Equ it ab le Rel ie f Und er Se ct io n 6 01 5( f) A reque st in g s po us e who is un ab le to qu al ify for re li ef p ur su an t t o s ect io n 60 15 (b ) or(c) m ay

no ne th el es s av oi d jo in t an d s ev eral li ab il it y if, t ak in g i nt o acco un t al l o f th e fac ts an d c irc um st an ces , itis in equi tabl e to ho ldth atin di vi du al li ab le foran y

unpa idtax or d efi ci en cy . Sec. 6 01 5( f)(1 ) an d (2 ). Whe re the An el ect io n i s i nv al idif t he Co m m is si on er d em on strat es th atass et s wer e 4 tra ns ferr edbe twee n i nd iv idua ls fil in g ajoi ntreturn a s p artof afrau du le ntsch em e by suc h i nd iv idua ls . Sec. 6 01 5( c)(3 )(A)(i i).- 13 -

Co m m is si on er d en ie s a r eque st in g s po us e equi tabl e rel ie f un de r se ct io n 6 01 5( f),
su ch in di vi du al m ay

pe ti ti on th e Co urt t o d et erm in e th e ap pr op ria te rel ie f
av ai labl e. Sec. 6 01 5( e)(1 )(A). Our st atut ory ch arg e u nd er s ect io n 6 01 5 i s t o de ci de whet he r a t ax pa y er i s en ti tl edto equi tabl e rel ie f onth e b as is of a ll th e fac ts
an d c irc um st an ces . Srir am v. Co m m is si on er, T.C. Mem o. 2 01 2- 91 . W e d eci de de
no vo whet he r equi tabl e rel ie f is warran te d u nd er s ect io n 6 01 5( f). Po rte r v. Co m m is si on er, 1 32 T.C. at 2 10
. Pu rs uantto hi s g ran t o f au th or it y un de r se ct io n 6 01 5( f), th e Co m m is si on er ha s es tabl is he d g ui de li ne s fo r de te rm in in g wh ethe r anin di vi du al qu al ifi es for equi tabl e rel ie f. Rev . Pro c. 20 13 -3 4, 2 01 3- 43 I.R.B. 3 97 , m od ifyin g a nd
supe rs ed in g R ev . Pro c. 20 03 -6 1, 2 00 3- 2 C .B. 29 6. The Co urt co ns id ers th es e 5 gu id el in es in li gh t o f th e at te nd an t fa ct s an d c irc um st an ces to de ci de whethe r equi tabl e rel ie f is ap pr op ria te , bu t t he Co urt i s n otbo un d b y th em . Pul li ns v. Co m m is si on er, 1 36 T.C. 43 2, 4 38 -4 39 (20 11 ); S rir am v. Co m m is si on er, T.C. Mem o. 2 01 2- 91
.

Rev . Pro c. 20 13 -3 4, 2 01 3- 43 I.R.B. 3 97 , m od ifi es an d s up ers ed es Rev . 5 Pro c. 20 03 -6 1, 2 00 3- 2 C .B. 29 6, an d i s ef fect iv e fo r reque st s fo r rel ie f fi le d o n o r aft er Se pt em

be r 16 , 20 13 , or fo r reque st s fo r equi tabl e rel ie f pe nd in g o n Sep te m be r 16 , 20 13 , whet he r wit h t he IRS, i ts Offic e o f App eal s, o r ina cas e do ck et edin a Fed eral co urt. Rev . Pro c. 20 13 -3 4, s ec. 7 , 20 13 -4 3 I.R .B. at 4 03
.- 14 -

The gu id el in es be gi n b y

est ab li sh in g thr es ho ldrequi rem en ts th at , th e Co m m is si on er co nt en ds , m

us t b e sa ti sf

ie d b efo re an equi tabl e rel ie f reque stm ay be co ns id ered . Rev . Pro c. 20 13 -3 4, s ec. 4 .01 , 20 13 -4 3 I.R .B. at 3 99 -4 00 . The th res ho ldrequi rem en ts are: (1) The s po us e fi le d ajoi ntreturn fo r th e ta xabl e y ear fo r whi ch th e sp ou se see ks rel ie f; ( 2) rel ie f is no t av ai labl e to th e sp ou se un de r se ct io n 6 01 5( b) or ( c); (3) th e cl ai m forrel ie f is ti m el y

fil ed ; (4 ) no ass et s wer e tra ns ferr edbe twee n t he sp ou se s as pa rt o f a fraudul en t s ch em e; (5) th e no nr eque st in g s po us e d idno t t ran sf er d is qu al ifi edass et s t o t he reque st in g s po us e; (6 ) th e reque st in g s po us e d idno t kno win gl y pa rti ci pa te in th e fi li ng of afrau du le nt ta x re tu rn ; an d (7 ) wit h s ev eral ex cep ti on s, th e ta x l iabi li ty from whi ch th e sp ou se 6
se ek s re li ef i s at tri bu tabl e to anit em of t he no nr eque st in g s po us e. Id . If th e li ab il it y is pa rti al ly attr ib ut ab le to th e reque st in g s po us e, th enrel ie f can be
co ns id eredon ly for the po rti on of t he li ab il it y att rib ut ab le to th e n on reque st in g sp ou se . Id. A reque st in g s po us e th atsat is fie s t he th res ho ldco nd it io ns li st edab ov e m us t th ende m on st rat e th atequi tabl e rel ie f is ap pr op ria te un de r certa in fact or s. Id . sec s. Thes e ex cep ti on s ar e: (1) Att rib ut io n s ol el y du e to th e o pe rat io n o f 6 co m m un ity pro pe rty law; ( 2) no m in al own ers hi p; (3) m is ap pr op ria ti on of f un ds in te nd edforth e p aym en t o f ta x; (4) ab us e; an d (5 ) frau d c omm it te d b y th e no nr eque st in g s po us e as th e rea so n fo r th e err on eo us it em . Rev . Pro c. 20 13 -3 4, se c. 4.0 1( 7) , 20 13 -4 3 I.R .B. at 3 99 -4 00
.- 15 -

4.0 2 and4.0 3, 2 01 3- 43 I.R.B. at40 0. If t he reque st in g s po us e th ensat is fie s t he
so -cal le d s tre am li ne d c on di ti on s u nd er Re v. Pr oc . 20 13 -3 4, s ec. 4 .02 , rel ie f wil l b e gr an te d. If, h owe ve r, rel ie f is no t av ai labl e u nd er Re v. Pr oc . 20 13 -3 4, s ec. 4 .02 , th enth e Co m

m is si on er wi ll lo okto th e fac ts an d c irc um st an ces as s etforthin Rev . Pro c. 20 13 -3 4, s ec. 4 .03 , 20 13 I.R.B. at40 0- 40 3, t o d et erm in e whe th er re li ef fro m joi ntan d s ev eral li ab il it y is av ai labl e to th e reque st in g s po us e. Res po nd en t co nc ed es th atpe ti ti on er m eet s t he fir stsi x c on di ti on s i n re sp ect of th e en ti re t ax de fic ie nc y . Res po nd en t al so co nc ed es th atpe ti ti on er s at is fie s t he 7
se ve nt h c on di ti on in res pe ctof t he po rti on of t he tax de fic ie nc y attrib ut ab le to in te rv en or ’s un rep orte d i nc om e fro m The Sa le sm an , Inc . Howev er, res po nd en t arg ue s t ha t p et it io ne r fai ls th e se ve nt h c on di ti on in res pe ctof t he rem ai ni ng po rti onof t he tax de fic ie nc y be cau se itis att rib ut ab le to hi s u nr ep orte d i nc om e fro m hi s IRA di strib ut io ns . It i s t hu s p et it io ne r’s bu rd ento est ab li sh th athe m eet s anex cep ti on to th is th res ho ldrequi rem en t. See Ru le 14 2( a). Inad di ti on , in te rv en orarg ue s t ha t p et it io ne r is no t en ti tl edto rel ie f fro m joi ntan d s ev eral li ab il it y inres pe ctof a ny po rti on of the tax de fic ie nc y . Accor di ng ly, we di sc us s i n
Rev . Pro c. 20 13 -3 4, s up ra, rel ax edth e ti m el y fil in g re qu ire m en ts of R ev . 7 Pro c. 20 03 -6 1, s up ra. As re sp on de ntco nc ed es th atpe ti ti on er s at is fie d t he m or e res tri ct iv e ti m el y

fil in g re qu ire m en ts of t he earl ie r rev en ue pro cedur e, he ha s ne ces sa ril y

sat is fie d the m or e li be ral on e o f th e cu rren t re ve nu e p ro cedur e.- 16 -

tu rnwhet he r pe ti ti on er i s en ti tl edto rel ie f fro m joi ntan d s ev eral li ab il it y in
res pe ctof e ach po rti on of t he tax de fic ie nc y .

1. Pa rti al Rel ie f fo r Po rti onof Tax Defi ci en cy Attrib ut ab le to Unrep orte d In co m e o f Non reque st in g S po us e Whe n t he th res ho ldco nd it io ns ha ve be ensat is fie d, t he Co m m is si on er wi ll
or di na ril y gra ntrel ie f wit h re sp ectto anun de rp aym en t o f ta x i f th e reque st in g sp ou se m eet s ea ch of t he so -cal le d s tre am li ne d re qu ire m en ts setforth inRev . Pro c. 20 13 -3 4, s ec. 4 .02
. Pet it io ne r do es no t s at is fy all of t he st ream li ne d 8 requi rem en ts : As di sc us se d abo ve , pet it io ne r kn ew atth e ti m e th atth e return was si gn edth atin te rv en orrece iv edin co m e in 20 09 fro m The Sa le sm an , Inc ., by de li ve rin g n ews pape rs , andhe lea rn edwit hi n afew d ay s t he reaf te r th atth e return di d n otin cl ud e th atin co m e. Ther efo re, p et it io ne r is no t en ti tl edto rel ie f fro m joi ntan d s ev eral li ab il it y un de r th e so -cal le d s tre am li ne d p ro vi si on s o f Rev . Pro c. 20 13 -3 4, s ec. 4 .02
.

Rev . Pro c. 20 13 -3 4, s ec. 4 .02 , 20 13 -4 3 I.R .B. at 4 00 , perm it s re li ef i f al l o f 8 th e fo ll owi ng requi rem en ts are s at is fie d: (1) On t he da te th e Servi ce m ak es a de te rm in at io n, t he reque st in g s po us e is no lo ng er m arri edto th e n on reque st in g sp ou se ; (2 ) on th e d at e th e reque st in g s po us e rea so nabl y be li ev edth e joi ntreturn was fil ed , th e reque st in g s po us e d idno t kno w or h av e rea so n t o kno w of t he it em gi vi ng ris e to th e u nd ers ta te m en t; an d (3 ) th e reque st in g s po us e wou ldsu ffer eco no m ic ha rd sh ip if re li ef were no t g ran te d.- 17 -

Whe re, as he re, a re qu es ti ng sp ou se ful fil ls th e th res ho ldrequi rem en ts of Rev . Pro c. 20 13 -3 4, s ec. 4 .01 , bu t fa il s t o qua li fy forrel ie f un de r Rev . Pro c. 20 13
- 34 , sec . 4.0 2, t he Co m

m is si on er m ay

ne ve rth el es s co ns id er cr it eri a se t fo rth in Rev . Pro c. 20 13 -3 4, s ec. 4 .03 , andgra ntsp ou sa l re li ef und er s ect io n 6 01 5( f). In de te rm in in g wh ethe r itis in equi tabl e to ho ldth e reque st in g s po us e li ab le forall or pa rt o f th e u np ai d i nc om e ta x d efi ci en cy , andwhet he r fu ll or p art ia l eq ui tabl e rel ie f un de r se ct io n 6 01 5( f) s ho ul d b e g ran te d, al l t he fact s an d c irc um st an ces of th e cas e are tak enin to acco un t. Id . sec . 4.0 3( 2) . In ev al ua ti ng a cl ai m forrel ie f,
no on e fac to r ora m ajor ity of f act or s n eces saril y

de te rm in es th e o ut co m e. Id . The de gr ee o f im

po rta nc e o f eac h fa ct orva rie s d ep en di ng on th e reque st in g s po us e’s fact s an d c irc um st an ces . Id. Rev . Pro c. 20 13 -3 4, s ec. 4 .03 (2 ), pr ov id es a li stof n on ex cl us iv e fac to rs th at th e Co m m is si on er m ay

weig h i n m ak in g h is de te rm in at io n re la ti ng to in no cen t sp ou se rel ie f, in cl ud in g: (1) Whe th er the reque st in g s po us e is sep arat edor di vo rcedfro m

th e n on reque st in g s po us e; (2) whet he r th e reque st in g s po us e wou ld
su ffereco no m ic hard sh ip if re li ef i s n otgra nt ed ; (3 ) in un de rs ta te m en t ca se s whe th er, o n t he da te th e reque st in g s po us e si gn edth e joi ntreturn, t he reque st in g sp ou se di d n otha ve kn owl ed ge or r eas on to kn ow o f th e it em gi vi ng ris e to th e de fic ie nc y ; (4 ) whe th er the no nr eque st in g s po us e h as a le ga l o bl ig at io n t o p ay th e- 18 -

ta x l iabi li ty pur su an t t o ade cree of d iv or ce o r ot he r ag reem en t; (5) whet he r th e reque st in g s po us e rec ei ve d asi gn ifi can t b en efi t fr om th e it em gi vi ng ris e to th e de fic ie nc y ; (6 ) whe th er the reque st in g s po us e h as m ad e a g oo d- fai th effo rt t o co m pl y with t he Fed eral in co m e ta x l aws forth e ta xabl e y ears fol lo win g t he ta xabl e y ear t o wh ic h t he reque stforrel ie f; and(7) whet he r th e reque st in g s po us e was inpo orm en ta l o r ph y si cal he al that t he ti m e h e si gn edth e return o r reque st ed rel ie f. At the ti m e p et it io ne r fi le d fo r in no cen t s po us e rel ie f, he an d i nt erv en or were d iv or ced . This fact orweig hs in fav orof r el ie f. Pet it io ne r earns ap pr ox im at el y $2 4,0 00 pe r y ear b etween hi s So ci al Secu rit y di sabi li ty ben efi ts an d i nc om e fro m part- ti m e em

pl oym en t, an d h e supp orts hi s cu rren t wi fe an d h is st ep daug ht er. Pet it io ne r wou ldsu ffereco no m ic ha rd sh ip if rel ie f is no t g ran te d. Th is fact or weig hs in fav orof r el ie f. As d is cu ss edab ov e, pe ti ti on er kne w at t he ti m e th atth e return was si gn ed th atin te rv en orrece iv edin co m e in 20 09 fro m The Sa le sm an , Inc ., by

de li ve rin g ne wsp ap ers an d h e le arn edwithi n afew d ay s t he reaf te r th atth e return d idno t in cl ud e th atin co m e. Thi s fa ct orweig hs ag ai ns t re li ef. In te rv en ordo es no t h av e a l eg al ob li ga ti on to pa y th e ta x l iabi li ty pur su an t to a de cree of d iv or ce o r ot he r ag reem en t. Thi s fa ct oris ne ut ral
.- 19 -

Pet it io ne r di d n otrece iv e si gn ifi can t b en efi t (o r arg uabl y an y be ne fit ) fro m th e it em gi vi ng ris e to th e d efi ci en cy be cau se th e ref

un d m on ey

was d ep os it edin to ba nkacco un ts he ldin in te rv en or ’s nam e o nl y ov er wh ic h p et it io ne r ha d n o au th or it y ; m or eo ve r, atth e ti m e th atth e ref un d m on ey

was d ep os it ed , pet it io ne r an d i nt erv en orwere o nl y a co up le of m on th s away fro m a di vo rce p ro ceed in g. Thi s fa ct or

weig hs in fav orof r el ie f. 9 The reco rddo es no t i nd ic at e whe th er p et it io ne r ha s at te m pt edto co m

pl y wit h F ed eral in co m e ta x l aws aft er 2 00 9. Th is fact oris ne ut ral
. Fi na ll y , pet it io ne r su ffer s fr om COPD an d e m

ph y se m a, wit h h is lu ng s fu nc ti on in g a t 1 4% c ap aci ty. Thes e co nd it io ns were p res en t i n 2 00 9 a ndha ve co nt in ue d t o t he da te of t ria l. The se co nd it io ns affe ctpe ti ti on er’s ab il it y to fin d fu ll -ti m e em

pl oym en t. Thi s fa ct orweig hs in fav orof r el ie f. Afte r co ns id eri ng an d wei gh in g a ll th e fac to rs , we fin d i t wo ul d b e in equi tabl e to ho ldpe ti ti on er l iabl e fo r th e 2 00 9 t ax li ab il ity th atis attrib ut ab le to in te rv en or ’s un rep orte d i nc om e fro m The Sa le sm an , Inc . Accor di ng ly, pe ti ti on er
Altho ug h t he am ou ntof t he tax de fic ie nc y in th e in st an t ca se m ig htbe 9 vi ewedas m od es t i n a n abs ol ut e se ns e, itwas n otm od es t re la ti ve to th e fi na nc ia l ci rcu m st an ces of e it he r pe ti ti on er o r in te rv en or . Accor di ng ly, an d i n v ie w of a ll of th e fac ts an d c irc um st an ces , andpa rti cu la rly tho se hi gh li gh te d i n the tex t, we reg ardth e si gn ifi can t b en efi t fa ct oras we ig hi ng in fav orof r el ie f rathe r th anas ne ut ral . See Re v. Pr oc . 20 13 -3 4, s ec. 4 .03 (2 )(e) , 20 13 -4 3 I.R .B. at 4 02
.- 20 -

is en ti tl edto pa rti al rel ie f pu rs ua ntto sec ti on 60 15 (f) fo r 20 09 forth e p orti on of th e ta x l iabi li ty attr ib ut ab le to in te rv en or ’s un rep orte d i nc om e.

2. Pa rti al Rel ie f fo r Po rti onof Tax Defi ci en cy Attrib ut ab le to Unrep orte d In co m e o f Reque st in g S po us e As s ta te d abo ve , res po nd en t co nt en ds th atpe ti ti on er fa il s t he sev en th th res ho ldrequi rem en t (n am el y , th atth e ta x l iabi li ty from whi chth e reque st in g sp ou se see ks rel ie f is attrib ut ab le to anit em of t he no nr eque st in g s po us e) s etforth in Rev . Pro c. 20 13 -3 4, s ec. 4 .01 , forrel ie f fro m joi ntan d s ev eral li ab il it y in
res pe ctof t he tax de fic ie nc y att rib ut ab le to pe ti ti on er’s u nr ep orte d i nc om e fro m hi s IRA di st rib ut io ns . It i s t hu s p et it io ne r’s bu rd ento est ab li sh th athe m eet s an ex cep ti on to th is th res ho ldrequi rem en t. See Ru le 14 2( a). Pet it io ne r ap pe ars to rel y on th e frau d e xc ep ti onin arg ui ng th atin te rv en or fil edth ei r 20 09 joi ntreturn wi th ou t h is si gn atur e, kn owl ed ge , or c on se nt . W e di sa gr ee. We hav e al read y co nc lu de d tha t t he 20 09 joi ntreturn was a va li d jo in t return. Fu rth er, p et it io ne r di d n otpro ve th atth e o m is si on of h is in co m e fro m th e IRA d is tri bu ti on s o n t he return was du e to frau d b y in te rv en or . There fo re, the frau d e xc ep ti on to th e se ve nt h t hr es ho ldrequi rem en t fo r equi tabl e rel ie f se t fo rth in Rev . Pro c. 20 13 -3 4, s ec. 4 .01 , is in ap pl ic ab le . Peti ti on er h as th us fai le d t o sa ti sf y th e th res ho ldco nd it io ns forequi tabl e rel ie f se t fo rth in Rev . Pro c. 20 13 -3 4,- 21 -

supr a. Acco rd in gl y , pet it io ne r is no t en ti tl edto equi tabl e rel ie f un de r se ct io n 60 15 (f) fo r th e p orti on of t he tax de fic ie nc y att rib ut ab le to hi s o wn u nr ep orte d in co m e. Co nc lu si on W e h av e co ns id eredall of t he subs ta nt iv e is su es reg ard in g p et it io ne r’s
en ti tl em en t t o re li ef fro m joi ntan d s ev eral li ab il it y un de r se ct io n 6 01 5. To th e ex te ntth atwe ha ve no t s pe ci fic al ly addres se d a ny argu m en t m ad e b y th e p art ie s, we co nc lu de th atitis irr el ev an t, m oo t, o r wit ho utm eri t. To re fle ctth e fo reg oi ng , andin ord er t o g iv e eff ectto th e st ip ul at io n o f
se tt le d i ss ue s b etween pe ti ti on er an d re sp on de ntreg ard in g t he pa rti al rel ie f to whi chpe ti ti on er i s en ti tl ed , Deci si on wil l b e en te red
un de r Ru le 15 5.