George F. Walker - Page 14

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          made by petitioner satisfy the requirement under section                    
               Petitioner argues that the payments are alimony made pur-              
          suant to the separation agreement.  No explanation was given for            
          the discrepancy between the amount paid ($2,400) and that called            
          for in the separation agreement ($300 per month).  Respondent               
          contends that the payments made by petitioner relate to the                 
          $12,000 debt to Mary Walker pursuant to paragraph 4 of the                  
          separation agreement, and therefore the payments are in the                 
          nature of a property settlement or the repayment of a loan and              
          not deductible by petitioner.                                               
               Generally, we resolve questions as to whether payments are             
          "alimony" or something other than alimony on the basis of all the           
          facts and circumstances of the particular case, including the               
          terms of the spouses' separation agreement or divorce decree.               
          Jacklin  v. Commissioner, 79 T.C. 340, 351-352 (1982).  In the              
          instant case, we are unpersuaded by respondent's argument that              
          the payments relate to the $12,000 liability mentioned in                   
          paragraph 4 of the separation agreement.  The separation                    
          agreement indicates that the liability was to be satisfied from             
          proceeds received on the sale of the Walkers' marital home in               
          Arkansas, as petitioner contends, and that the repayment was to             
          be invested in a retirement fund on Mary Walker's behalf.                   
          Further, there is no evidence to suggest that the payments                  

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