Simpson Financial Services, Inc. - Page 1

                                                                                     










                                 T.C. Memo. 1996-317                                  


                               UNITED STATES TAX COURT                                


                   SIMPSON FINANCIAL SERVICES, INC., Petitioner v.                    
                    COMMISSIONER OF INTERNAL REVENUE, Respondent                      
                 RICHARD H. AND CHRISTINE R. SIMPSON, Petitioners v.                  
                    COMMISSIONER OF INTERNAL REVENUE, Respondent                      

               Docket Nos. 4255-95, 4354-95.      Filed July 15, 1996.                


               Robert D. Winston, Jr., for petitioners.                               
               Emile L. Hebert III, for respondent.                                   


                                 MEMORANDUM OPINION                                   

               LARO, Judge:  Petitioners moved the Court on March 13, 1996,           
          to recover $19,126 of administrative and litigation costs under             
          section 7430 and Rule 231.  Petitioners petitioned the Court to             
          redetermine respondent's determination for their 1988 taxable               






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