I’m sure Denise Sadjian Curcio loudly shouted the title hereof, as the Wildcats’ LITC got her Section 6015(f) innocent spousery from STJ Daniel A (“Yuda”) Guy, without even so much a a tiptoe, much less a trudge, through Rev. Proc. 2013-34, 2013-43 I.R.B. 397, modifying and superseding Rev. Proc. 2003-61, 2003-2 C.B. 296.

Denise may be happy. Kenneth, I doubt not, may take a different view, as he’s left on the hook for $9K plus chops. Turns out a $9K credit elect sat beyond the pull date, as the return claiming same was filed beyond the three-year Section 6514 lookback.

Neither Denise nor Kenneth were particularly good money managers, but Denise went through a $2 million PI settlement, thus claiming poverty. True, she was badly hurt inn a wreck and got the minor children in the divorce.

I don’t want to knock the Villanova Widger School of Law’s LITC crew, but IRS folded their denial of Section 6015(f) equity at the courtroom door, and Kenneth (pro se, of course) was hardly a formidable adversary. He stiped pre-trial that he’d be responsible for everything if Denise wins this case, or if he wins, they’d split the bill, and this gets into the record. Comment is superfluous.

“It is worth noting here that in preparing this case for trial, respondent reconsidered and concluded that petitioner’s claim for relief should be granted. Additionally, when given the chance, intervenor had little to offer the Court in support of his opposition to petitioner’s claim for relief. Intervenor’s primary complaint is that petitioner could have used funds in the settlement account to pay the couple’s tax liability for the year in issue when she first learned about the underpayment in early 2018.” 2021 T. C. Sum. Op. 31, at pp. 13-14.

Denise wins.

I point out that Denise started with a $2 million settlement, and after expenses and set-asides, still had $1 million, yet “…the home that petitioner purchased in 2017 is encumbered by a home equity line of credit and is subject to a lien attributable to unpaid property tax…Petitioner owes $160,000 to her cousin and $16,000 to her divorce attorney. In addition petitioner has outstanding credit card debt totaling approximately $100,000.” 2021 T. C. Sum. Op. 31, at p. 9.

Btw, the home was purchased for $605K out of the net settlement proceeds. 2021 T. C. Sum. Op. 31, at p. 5.

And Denise apparently took $70K of proceeds to engage in some kind of business, as to which nothing was heard thereafter. 2021 T. C. Sum. Op. 31, at p. 5, at which STJ Yuda comments “(T)he record does not include any additional information about the success or failure of this enterprise.”

How do you spell dissipation of assets? Why did IRS fold? And Denise apparently qualified for low income tax clinic treatment, having blown through a million bucks.

Of course, Kenneth gave the case away, and can’t appeal. But if this is equity, I’ll be dipped.

For the record, the case is Denise Sadjian Curcio, Petitioner, and Kenneth Curcio, Intervenor, 2021 T.C. Sum. Op. 31, filed 8/31/21.*

*CURCIO 2021 T C Sum Op 31 8 31 21

Edited to add, 9/1/21: As best I, a mere old-time, beaten-up, beaten-down, single-shingle dirt lawyer “of limited experience and mediocre qualifications” can discern, Denise blew through $1 million net from the settlement: she owes another $100K credit card debt, $160K to a cousin who lent her money (use of proceeds unknown), $16K to her divorce lawyer, and an undisclosed amount in real estate taxes and home equity line of credit on her MacMansion. Plus put $70K into a business, the fate of which is unknown. This is low income? This is not dissipation of assets? I won’t mention that a high-low settlement agreement got into the record of a trial, to the prejudice of a pro se. It’s been almost five (count ’em, five) years since I said this (and turns out I was right back then): If ever an opinion needed reargument, it’s 2021 T. C. Sum. Op. 31.