Nathaniel L. Ward, Sr. and Irene E. Ward - Page 1

                                 T.C. Memo. 1997-106                                  

                               UNITED STATES TAX COURT                                

              NATHANIEL L. WARD, SR., AND IRENE E. WARD, Petitioners v.               
                    COMMISSIONER OF INTERNAL REVENUE, Respondent                      

               Docket Nos. 2167-95, 19590-95.          Filed March 3, 1997.           

               Nathaniel L. Ward, Sr., and Irene E. Ward, pro se.                     
               William Henck, for respondent.                                         

                       MEMORANDUM FINDINGS OF FACT AND OPINION                        
               GERBER, Judge:  Respondent, by means of two separate notices           
          of deficiency, determined deficiencies in petitioners’ Federal              
          income tax and an accuracy-related penalty as follows:                      

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