- 7 - the period June 16, 1993, through at least March 22, 2000.7 On his returns for 1995 through 1997, Specking reported the following wages from Raytheon, income from other sources, and adjusted gross income (not including any exclusions from income under sections 931 or 911): Income from Adjusted Year Wages other sources gross income 1995 $74,552 1($15,895) $58,657 1996 85,385 (18,203) 67,182 1997 95,246 (28,211) 67,035 1The negative numbers result from a Schedule F, Profit or Loss From Farming, farm loss Specking sustained in each year. With the 1997 return, Specking included a Form 2555, Foreign Earned Income, on which he claimed that he had foreign earned income of $95,246 relating to work performed on Johnston Island, of which $70,000 was an eligible “foreign earned income exclusion”. On or about June 1, 1998, Specking filed Forms 1040X, Amended U.S. Individual Income Tax Returns, for 1995 and 1996 on which he claimed he was entitled to refunds of $8,522 and $11,531, respectively, because he could exclude $70,000 from gross income for each of those years because “UNDER SECTION 931 AND REGULATION 1.931-1 PERSONS EARNING INCOME FROM JOHNSTON ISLAND ARE CONSIDERED TO HAVE EARNED INCOME FROM A FOREIGN SOURCE 7Specking previously had been assigned to the JACADS project between Aug. 22, 1988, and Nov. 20, 1991.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011