- 9 -
failure to grasp the factual basis for the computation, however,
does not deter us from ruling on petitioner’s entitlement to the
credit. Simply put, there is no provision in the Internal
Revenue Code that allows such a credit. Respondent’s
disallowance of the “carry forward loss” credit is sustained.
3. Gain From the Sale of the Condominium
In 1993, petitioner apparently realized a $17,500 gain on
the sale of the condominium. He included that gain in the income
he reported on his 1993 return but now argues that he should not
have done so.
In general, a taxpayer is required to include in income for
the year of sale any gain realized on the sale of property.
Secs. 61, 1001. For 1993, section 1218 permitted certain
taxpayers (55 years old and older) to exclude from gross income
up to $125,000 of gain from the sale of property which they had
owned and used as their principal residence for 3 or more of the
7(...continued)
tax returns for prior years and a Form 1045, Application for
Tentative Refund, for 1991, without more, are not sufficient to
establish either point. Wilkinson v. Commissioner, 71 T.C. 633,
639 (1979).
8 Sec. 121 was amended by sec. 312(a) of the Taxpayer
Relief Act of 1997 (TRA 1997), Pub. L. 105-34, 111 Stat. 836,
effective for sales after May 6, 1997.
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