Stanley P. Zurn - Page 29

               Petitioner claimed an alimony deduction of $1,000 per                  
          month, or $12,000 for each year at issue. Respondent disallowed             
          $11,988, all but $12 ($1 per month) of the claimed deduction for            
          each of the years in issue.                                                 
               There is no dispute about the fact that petitioner paid Ms.            
          Zurn $1,000 per month--the only question is whether any amount in           
          excess of $12, on an annual basis, constitutes alimony within the           
          meaning of sections 71 and 215.  Petitioner argues that under               
          California law the nunc pro tunc order corrects a mistake in the            
          original order.  For Federal income tax purposes, petitioner                
          contends that the correction of a mistake by a State court                  
          relates back so as to meet the requirements of sections 71 and              
          215.  Respondent argues that the original decreed amount ($1) was           
          the amount intended by the parties and that no mistake was made.            
          Respondent infers that the $1,000 monthly payment to Ms. Zurn was           
          either to buy out her interest in the property under an implicit            
          property settlement between the parties or income payments                  
          attributable to her joint property interests with petitioner.               
               Section 215 permits a deduction for alimony payments, as               
          defined in section 71.  For purposes of this case, payments may             
          qualify as alimony if, in addition to satisfying other                      
          requirements, they are received by a spouse under a decree of               
          divorce or of separate maintenance.  Sec. 71.  In this case, the            

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