- 3 - the marital home is paid, or the marital home is sold, or foreclosed upon by the mortgage holder. During 1997, petitioner received the court-ordered payments directly from the U.S. Coast Guard.1 Petitioner filed timely a Federal income tax return for 1997 that did not report as income the receipt of the payments she received under the decree. On January 21, 2000, the Internal Revenue Service (IRS) received an amended tax return from petitioner reporting total pensions and annuities of $6,563 but showing the taxable amount as zero. Discussion Respondent determined in the statutory notice of deficiency that petitioner must include in income the payments received from the U.S. Cost Guard as a result of the decree. Respondent argues that what petitioner got under the decree "is simply a right to receive a future stream of income". Under the law of Oregon, the court may issue a decree of marital dissolution which provides for the division, or other disposition between the parties, of their real or personal property "as may be just and proper". Or. Rev. Stat. sec. 107.105(f)(1999), added to Or. Rev. Stat. in 1983; see Richardson 1By Federal statute, the payments end in accordance with the court order but not later than the date of death of the retiree or the former spouse to whom payments are being made. See 10 U.S.C. sec. 1408(d)(4) (1994).Page: Previous 1 2 3 4 5 6 7 8 9 10 Next
Last modified: May 25, 2011