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9. The Petitioner will not be liable for
additional interest under section 6621(c), formerly
(d), penalties or additions to the tax attributable to
the Petitioner's claimed partnership deductions.
10. The parties agree that this stipulation of
settled issues shall not constitute a settlement
agreement for years that are not before the Court in
this case.
Paragraphs 5 and 6 of the Stipulation of Settled Issues
addressed an investment credit. Although the decision and the
Stipulation of Settled Issues did not specify the dollar amount
of the credit to be carried forward to Kanter's 1978 return, the
Court is satisfied that the provisions of the stipulated decision
entered in docket No. 12282-82 permit Kanter to carry forward to
his 1978 year any investment credit allowed for 1977 that was not
utilized to offset 1977 taxes. Accordingly, the Court holds that
the Kanters' entitlement to an investment credit carryover for
1978 is to be taken into account in the Rule 155 computation to
the extent of any carryover from the Kanters' 1977 tax year.
Issue 17. Whether the Kanters Are Entitled to an Interest
Deduction for 1986
OPINION
In the notice of deficiency for 1986, respondent determined
that the Kanters were not entitled to deduct interest expenses
claimed on their Federal income tax return in the amount of
$50,380. The Kanters introduced no evidence on this issue. The
burden of proof was on them and, since no evidence was presented,
respondent's determination is sustained.
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