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to be given, it must come from Congress. We therefore hold that
petitioner was subject to tax under the Internal Revenue Code for
the years in issue.
2. Accident: Section 104(a)
In the notice of deficiency for 1989, respondent determined
that petitioner received unreported income of $105,000. The
explanation of the adjustment states:
It is determined that you received insurance proceeds in the
amount of $105,000 from * * * Insurance Company for tax year
1989. This amount is determined to be taxable to you
because you have failed to establish that this amount is
excludable from gross income under the provisions of the
Internal Revenue Code.
It is undisputed that petitioner suffered a broken ankle,
made an uninsured motorist claim on his insurance carrier, the
claim was not paid on demand, a lawsuit followed, and the
insurance company chose to settle and pay the full amount payable
under the policy. Respondent argues that petitioner's uninsured
motorist claim was based on a false motor vehicle report.
Respondent contends “insurance proceeds obtained under false
pretenses constitute ordinary income to the recipient”.
It is not clear from petitioner’s pleadings whether he seeks
to exclude the insurance settlement under sec. 104(a)(2) or (3).
The original petition does not raise the matter and paragraph 5
of the amended petition states only: “This money was a tax
exempt personal injury settlement received by petitioner from an
insurance company.” Petitioner's brief fails to identify the
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