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III. Section 72(t) -- Additional Tax
Respondent determined a 10-percent additional tax under
section 72(t) for premature distributions made from a qualified
retirement plan to petitioners. Section 72(t) imposes an
additional tax on any amount received from a qualified retirement
plan equal to 10 percent of the amount includable in gross
income. For purposes of the 10-percent tax, a qualified
retirement plan includes an IRA described under section 408(a).
See sec. 4974(c)(4). Several exceptions to the imposition of the
additional tax are enumerated in section 72(t)(2). Petitioners
presented neither evidence nor argument in support of the
application of any of the exceptions. Therefore, we find that
petitioners are liable for the 10-percent additional tax under
section 72(t) as follows: Brian as to the entire 1992 Plan
distributions; Wayne as to the entire 1992 and 1993 Plan
distributions and as to the entire 1993 and 1994 IRA
distributions.
We have considered all other arguments made by the parties
and found them to be either irrelevant or without merit.
To reflect the foregoing,
Decisions will be entered
for respondent.
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