Asa Eugene Pearson - Page 6

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          taxpayer is absent from work.  With respect to the first part of            
          section 105(c)(2), Rosen v. United States, 829 F.2d 506, 509 (4th           
          Cir. 1987), states as follows:                                              
                    A review of the cases indicates that for payments to be           
               excludible from income under section 105(c), the instrument            
               or agreement under which the amounts are paid must itself              
               provide specificity as to the permanent loss or injury                 
               suffered and the corresponding amount of payments to be                
               provided. * * * exclusion is permitted only under plans                
               which vary benefits to reflect the particular loss of bodily           
               function. * * *                                                        
               Petitioner has been unable to establish that the disability            
          plan payments he received from MetLife comport with the                     
          requirements of section 105(c).  Indeed, petitioner concedes that           
          the monthly payments from MetLife are computed based on the                 
          number of years of credited service petitioner had at General               
          Motors and not with regard to any injury as required by section             
               On the basis of the record, we find that the disability plan           
          payments petitioner received from MetLife are not excludable from           
          gross income pursuant to section 105(c).  Since we find that on             
          the basis of the record the disability payments fail to satisfy             
          section 105(c)(2), we need not decide whether they satisfy                  
          section 105(c)(1).                                                          
               In the alternative, petitioner contends that even if we find           
          that the disability payments are not excludable from gross income           
          pursuant to section 105(c), the disability plan payments are part           

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