Robert Carmelo Torre - Page 6




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          funds are exempt from this requirement in whole or in part.  The            
          pattern of the form is that capital gain distributions are                  
          included with other items on line 5 of Schedule B, are deducted             
          on line 7 of Schedule B, and are included on line 13 of Schedule            
          D.  The form is certainly comprehensible and results in capital             
          gain dividends’ being taxed at appropriate rates.                           
               Moreover, even if the schedule had provided misleading or              
          erroneous information, the law is well settled that the                     
          authoritative sources of Federal tax law are the statutes,                  
          regulations, and judicial decisions, not informal publications or           
          instructions of the Internal Revenue Service.  Casa De La Jolla             
          Park, Inc. v. Commissioner, 94 T.C. 384, 396 (1990); Zimmerman v.           
          Commissioner, 71 T.C. 367, 371 (1978), affd. without published              
          opinion 614 F.2d 1294 (2d Cir. 1979); Green v. Commissioner, 59             
          T.C. 456, 458 (1972); Graham v. Commissioner, T.C. Memo. 1995-              
          114; see also Adler v. Commissioner, 330 F.2d 91, 93 (9th Cir.              
          1964), affg. T.C. Memo. 1963-196.  Accordingly, petitioner’s                
          capital gain distribution from his mutual fund holding during the           
          year in issue is includable in his income as long-term capital              
          gain and properly should have been reported on line 5 of Schedule           
          B, of his income tax return for 1997.                                       
          B.  Casualty/Theft Loss                                                     
               Under section 165(a) and (c)(3), subject to limitations, an            
          individual is permitted a deduction for a loss that arises from             






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