- 11 - the welfare payments. The Court found that taxpayer’s daughter employed taxpayer to provide services, that payments were disbursed in the name of the disabled daughter during the first half of the year under an advance payment method, whereas, payments were directly disbursed to petitioner-health care provider and the other provider, during the last half of the year. At all times during the year in issue, the agency disbursing the funds considered the disabled daughter as the recipient of the benefits and the employer of the care providers. Therefore, the payments were includable in the taxpayer’s gross income as compensation. See id. at 66. Moreover, petitioner’s case is almost identical to the facts in Goldman v. United States, 79 F. Supp. 2d 1356 (N.D. Ga. 1998), affd. per curiam without published opinion 196 F.3d 1262 (11th Cir. 1999). In Goldman, Mrs. Goldman received reimbursement under a similar Florida statute for providing attendant care to her fully disabled husband. Mrs. Goldman did not include amounts received for services on their joint return because she argued the payments were fully excludable under section 104(a)(1). In a refund action, the U.S. District Court for the Northern District of Georgia, applying Florida law, found that an award of attendant-care services for care given by taxpayer was properly included in gross income as compensation for services under the doctrine of anticipatory assignment. The Court held that thePage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Next
Last modified: May 25, 2011