Donald J. and Lillian Joy Miravalle - Page 1

                                 T.C. Memo. 1997-508                                  


                               UNITED STATES TAX COURT                                


                 DONALD J. AND LILLIAN JOY MIRAVALLE, Petitioners v.                  
                    COMMISSIONER OF INTERNAL REVENUE, Respondent                      


               Docket No. 10686-94.                Filed November 12, 1997.           


               Donald J. Miravalle and Lillian Joy Miravalle, pro se.                 
               Howard P. Levine, for respondent.                                      


                                 MEMORANDUM OPINION                                   
               TANNENWALD, Judge:  Respondent determined deficiencies in              
          and additions to petitioners' Federal income taxes as follows:              












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