- 2 - Respondent determined a $5,762 deficiency in petitioner’s 1997 Federal income tax and a $1,150 accuracy-related penalty pursuant to section 6662. After concessions,1 the issues for decision are: (1) Whether petitioner is subject to the section 72(t) 10-percent additional tax on an early distribution from a section 401(k) retirement plan; and (2) whether respondent properly determined a deficiency based upon an amount erroneously refunded to petitioner after an erroneous abatement of petitioner’s entire 1997 tax liability. 1 On brief, respondent concedes the sec. 6662 penalty and also concedes adjustments in the notice of deficiency increasing petitioner’s taxable income by $33 of interest income and $317 of wages. A handwritten statement that is included among the parties’ stipulations (but that is initialed only by respondent’s counsel) indicates that petitioner concedes that he is not entitled to a $27 deduction for bank fees, as allowed in the notice of deficiency. Assuming that the stipulation is not binding on petitioner, who never initialed it, we nevertheless deem petitioner to have conceded that he is not entitled to the $27 deduction, having never claimed this deduction on his 1997 income tax return in the first instance and having failed to address the issue before, during, or after the trial. Although petitioner’s 1997 income tax return reflects a claimed deduction of $5,807 for a contribution to an individual retirement account (IRA), at trial petitioner testified that he was not claiming an IRA deduction and that he had left this line blank on his 1997 tax return as filed. Accordingly, we deem petitioner to have conceded that he is not entitled to any IRA deduction.Page: Previous 1 2 3 4 5 6 7 8 9 10 Next
Last modified: May 25, 2011