Patrick W. Healey and Nancy L. Marshall - Page 1

                                 T.C. Memo. 1996-260                                  


                               UNITED STATES TAX COURT                                


               PATRICK W. HEALEY AND NANCY L. MARSHALL, Petitioners v.                
                    COMMISSIONER OF INTERNAL REVENUE, Respondent                      


               Docket Nos.  222-94, 2613-95.            Filed June 6, 1996.           
                                                                                     

               Patrick W. Healey, for petitioners.                                    
               Lisa K. Hartnett, for respondent.                                      


                       MEMORANDUM FINDINGS OF FACT AND OPINION                        

               COLVIN, Judge:  Respondent determined that petitioners are             
          liable for a deficiency in Federal income tax, an addition to               
          tax, and a penalty as follows:                                              












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