Madeline A. Coblenz and William J. Mason - Page 14

                                       - 14 -                                         

          I.   Evidentiary Issue                                                      
               Petitioners reserved relevance objections to Exhibits 42-R             
          through 57-R.  The exhibits consist of court documents related to           
          motions to dismiss and for summary judgment filed by the FDIC and           
          petitioner in petitioner’s lawsuit.  Rule 401 of the Federal                
          Rules of Evidence defines relevant evidence as “evidence having             
          any tendency to make the existence of any fact that is of                   
          consequence to the determination of the action more probable or             
          less probable than it would be without the evidence”.  In order             
          to be deemed relevant, proffered evidence need not prove an                 
          ultimate fact in issue; it must only tend to make the existence             
          of any fact more or less probable.  Upon reviewing the exhibits             
          to which petitioners’ relevance objections are outstanding, we              
          find those exhibits relevant within the meaning of rule 401, and            
          thus petitioners’ objections are overruled and the exhibits are             
          hereby made a part of this record.                                          
          II. Section 104(a)(2) Exclusion From Gross Income                           
               Under section 61(a), Congress has provided that gross income           
          includes all income from whatever source derived unless otherwise           
          excluded by the Internal Revenue Code.  See Commissioner v.                 
          Glenshaw Glass Co., 348 U.S. 426, 429-430 (1955).  Pursuant to              
          section 104(a)(2), gross income does not include “the amount of             
          any damages received (whether by suit or agreement and whether as           

Page:  Previous  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  21  22  23  Next

Last modified: May 25, 2011