- 14 -
petitioners of this additional tax, we also sustain respondent's
determination that petitioners are liable for the 10-percent
additional tax imposed by section 72(t). See O'Connor v.
Commissioner, T.C. Memo. 1994-170; Wheeler v. Commissioner, T.C.
Memo. 1993-561; cf. Dorsey v. Commissioner, T.C. Memo. 1995-97;
Brown v. Commissioner, T.C. Memo. 1995-93.
III. Excise Tax Issues
Finally, we turn to respondent's excise tax determinations.
Section 4973(a) imposes a 6-percent excise tax on excess
contributions to an IRA. As relevant herein, an "excess
contribution" is the amount contributed in excess of the amount
allowable as a deduction under section 219, exclusive of amounts
properly rolled over tax free. Sec. 4973(b). As discussed
above, because petitioner's Transfer Refund was not eligible for
tax-free rollover treatment, so much of petitioner's IRA
contribution in 1989 as exceeds $2,000 is subject to the excise
tax under section 4973(a).
Section 4980A(a) imposes a 15-percent excise tax on excess
distributions from qualified retirement plans. As relevant
herein, an "excess distribution" is defined as the aggregate
amount of the retirement distributions with respect to any
individual during any calendar year to the extent that such
amount exceeds $150,000. Sec. 4980A(c)(1). Because petitioner's
Transfer Refund exceeded $150,000, petitioner is also subject to
this tax; however, petitioner is entitled to an offset for the
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