Maurice D. and Elinor Taylor - Page 1

                                 T.C. Memo. 1997-513                                  


                               UNITED STATES TAX COURT                                


                    MAURICE D. AND ELINOR TAYLOR, Petitioners v.                      
                    COMMISSIONER OF INTERNAL REVENUE, Respondent                      


               Docket No. 5218-95.                 Filed November 17, 1997.           


               Paula M. Junghans and Caroline D. Klepper, for petitioners.            
               Richard A. Stone, for respondent.                                      



                       MEMORANDUM FINDINGS OF FACT AND OPINION                        

               JACOBS, Judge: Respondent determined the following                     
          deficiencies, additions, and penalties with respect to petitioners'         
          Federal income taxes:                                                       








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