- 2 -2 1994. On April 1, 1997, we granted respondent's motion to consolidate the Rozpads' and the DiBiasios' cases. Unless otherwise indicated, all section references are to the Internal Revenue Code in effect for the years in issue, and all Rule references are to the Tax Court Rules of Practice and Procedure. The issues for decision are: 1. Whether portions of the proceeds received by petitioners in their respective settlements of tort actions are excludable from gross income under section 104(a)(2). We hold that they are not excludable. 2. Whether petitioners may, pursuant to section 212, deduct attorney's fees and costs relating to their respective settlements. We hold that they are entitled to deduct such fees and costs. 3. Whether the 3-year statute of limitation bars respondent from assessing and collecting the deficiency relating to the DiBiasios' 1989 tax year. We hold that it does not. FINDINGS OF FACT The parties submitted these cases fully stipulated pursuant to Rule 122. At the time the Rozpads filed their petition, they resided in Riverside, Rhode Island. At the time the DiBiasios filed their petition, they resided in Cranston, Rhode Island. The RozpadsPage: Previous 1 2 3 4 5 6 7 8 9 10 11 Next
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