- 6 - alternative, respondent argues that, even if petitioner did make a qualified IRA contribution during 1994, he is precluded by the limitations of section 219(g) from deducting such contribution. Petitioner freely admits that he claimed the subject $2,000 IRA deduction solely in an attempt to recoup the funds collected by respondent in connection with the 1993 levy of his CD at Asheville Savings, which he contends was wrongful. Petitioner acknowledged at trial that he did not make any contribution to an IRA during 1994. Thus, the Court finds that petitioner did not make a qualified retirement contribution to an IRA in 1994. Petitioner also admitted that he was a participant in the Federal Employees Retirement System (FERS) in connection with his employment at USDA during that entire year. Thus, the Court finds that petitioner was an active participant in a retirement plan for that year. Petitioner's adjusted gross income for 1994, without regard to his deduction for an IRA contribution, was $53,663, which exceeds the point at which an IRA deduction is entirely phased out for a married couple filing jointly. In short, petitioner failed to meet the statutory requirements under section 219 for claiming a deduction for an IRA contribution in 1994. Thus, the Court holds that petitioner is not entitled to any deduction for a contribution to an IRA in 1994. Petitioner, moreover, is admonished over the manner in which he attempted to circumvent what he felt was an improperPage: Previous 1 2 3 4 5 6 7 8 9 10 11 Next
Last modified: May 25, 2011