106 T.C. No. 18
UNITED STATES TAX COURT
ROBERT J. DWYER AND CATHERINE DWYER, Petitioners v.
COMMISSIONER OF INTERNAL REVENUE, Respondent
Docket No. 2626-95. Filed May 15, 1996.
P husband, age 53 at the time, made a premature
withdrawal from his individual retirement account (IRA)
in 1989. P was actively engaged as a stock trader
specializing in trading corporate stock on a short-term
basis throughout 1989. During the latter part of the
year he was diagnosed as suffering from clinical
depression. Held: Ps are liable for the 10-percent
additional tax on the premature IRA withdrawal. Sec.
72(t), I.R.C. Although Ps claimed the exception for
disability contained in sec. 72(t)(2)(A)(iii), I.R.C.,
P husband was not "disabled" within the definition of
that term contained in sec. 72(m)(7), I.R.C. and sec.
1.72-17A(f), Income Tax Regs., since he was not
prevented by his illness from engaging in any
substantial gainful activity.
Page: 1 2 3 4 5 6 7 8 9 10 11 Next
Last modified: May 25, 2011