Mark J. Vorwald - Page 2

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               Respondent determined a deficiency in petitioner's 1992                
          Federal income tax in the amount of $2,119.30, and an addition to           
          tax pursuant to section 6651(a) in the amount of $529.83.                   
               The issues for decision are:  (1) Whether petitioner must              
          include in income as a distribution from his individual                     
          retirement account the amount transferred therefrom to his former           
          spouse in a garnishment proceeding; and, if so, (2) whether the             
          distribution is subject to the additional tax imposed by section            
          72(t).  During the trial respondent's counsel conceded the                  
          addition to tax and advised the Court that the deficiency                   
          determined in the notice was overstated inasmuch as it failed to            
          take into account the allowance of the standard deduction.                  
               Some of the facts have been stipulated, and they are so                
          found.  Petitioner filed his 1992 Federal income tax return on              
          June 15, 1995.  He was single as of the close of 1992 and resided           
          in Buellton, California, at the time that the petition was filed.           
               In 1986, petitioner opened an individual retirement account            
          (IRA) at the Deer Valley Federal Credit Union in Phoenix, Arizona           
          (Deer Valley).  The history of petitioner's contributions to the            
          IRA is unknown.  As of March 18, 1992, there was at least                   
          $8,483.25 in the account.                                                   
               On or about September 4, 1991, a judgment in the amount of             
          $10,670.24 was entered against petitioner in favor of his former            
          spouse, Kathleen J. Vorwald, for arrearages in child support                

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