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* * * * * * *
(7) to the extent such debt is for a fine,
penalty, or forfeiture payable and for the
benefit of a governmental unit, and is not
compensation for actual pecuniary loss, other
than a tax penalty--
(A) relating to a tax of a kind not
specified in paragraph (1) of this
subsection; or
(B) imposed with respect to a
transaction or event that occurred
before three years before the date
of the filing of the petition; * * *
Respondent asserts that the additional tax under section 72(t)
falls within the confines of these exceptions and therefore is
nondischargeable by the bankruptcy court.
Petitioner argues, in essence, that the additional tax under
section 72(t) is a tax penalty rather than an income tax, and that
the penalty is a dischargeable debt. Petitioner further reiterates
his position in the petition and reply to respondent's answer that
the bankruptcy court has already resolved this issue through its
order. Alternatively, petitioner asks us to remand the issue back
to the bankruptcy court for resolution.
The parties apparently request us to determine the
characterization of the deficiency arising under section 72(t) for
purposes of determining its dischargeability. In this regard, we
note the existence of various tests for analyzing the proper
characterization of items as taxes for purposes of priority under
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