Michael R. and Helen G. Joseph - Page 1

                                 T.C. Memo. 2004-134                                  


                               UNITED STATES TAX COURT                                


                   MICHAEL R. AND HELEN G. JOSEPH, Petitioners v.                     
                    COMMISSIONER OF INTERNAL REVENUE, Respondent                      


               Docket No. 10840-02.           Filed June 8, 2004.                     


               Joe Alfred Izen, Jr., for petitioners.                                 
               David Lau, for respondent.                                             


                       MEMORANDUM FINDINGS OF FACT AND OPINION                        
               SWIFT, Judge:  Respondent determined deficiencies in                   
          petitioners’ Federal income taxes as follows:                               

                              Year       Deficiency                                   
                              1998         $   801                                    
                              1999      32,509                                        








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