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level proceeding. See, e.g., Woody v. Commissioner, 95 T.C. 193,
206 (1990). However, the determination of any overpayments must
be included as part of the decision in this case after a trial on
the merits. See sec. 6512(b)(3); Estate of Quick v.
Commissioner, supra at 189. Pursuant to section 6512(b)(1),
petitioners would be entitled to a credit or refund of any
overpayment that we may determine only when the decision becomes
final. Further, pursuant to section 6512(b)(2), we may order the
refund of any overpayment included in a decision only if the
refund remains unpaid for 120 days after the date the decision
becomes final.
In response to petitioners' argument, even if the
adjustments to the amounts of their distributive share of
partnership losses for 1989 and 1990 were somehow separable from
respondent's challenge to the characterization of those losses
under section 469, and were therefore subject to computational
adjustment, which they are not, we lack jurisdiction under
section 6512(b) to determine any overpayments of tax attributable
to computational items at any stage of this proceeding. Woody v.
Commissioner, supra at 206. It follows that we also lack the
authority to order the credit or refund of overpayments
attributable to such computational items.
Lastly, petitioners' argument that the Court failed to treat
the section 469 issue consistently for all years before the Court
is unavailing. We did not conclude that the characterization of
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