- 8 -
($84,447). As a consequence, respondent increased petitioners'
income by $70,000. As corollaries to this determination,
respondent also determined that petitioners are liable for: (1)
The 10-percent additional tax under section 72(t), (2) the excise
tax under section 4973 on excess contributions to individual
retirement accounts, and (3) the excise tax under section 4980A
for excess distributions from qualified retirement plans.5
In February 1993, petitioners filed Form 1040X (Amended U.S.
Individual Income Tax Return), seeking to amend their 1991 income
tax return. On the amended return for 1991, petitioners sought
to reduce taxable income by the previously reported IRA
distribution in the amount of $69,089. Also on the amended
return for 1991, petitioners sought to eliminate the previously
reported additional tax under section 72(t) in the amount of
$6,909.
In July 1993, the Commissioner sent petitioners a notice of
claim disallowance in respect of their claim for refund for 1991.
In July 1995, petitioners commenced a suit for refund against the
United States in the U.S. District Court for the District of
Maryland in respect of said claim for refund. Such refund action
is presently pending at docket No. Y952024.
5 See supra note 3 regarding the parties' concessions of these corollary
determinations.
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