Harold Wilson - Page 5

                                        - 5 -                                         
          excluded from the computation of earned income.  Petitioner filed           
          a supplemental memorandum repeating his prior arguments.                    
               1.  Jurisdiction                                                       
               The Tax Court is a court of limited jurisdiction, and we may           
          exercise our jurisdiction only to the extent authorized by                  
          Congress.  See Naftel v. Commissioner, 85 T.C. 527, 529 (1985).             
          The Court's jurisdiction to redetermine a deficiency depends upon           
          the issuance of a valid notice of deficiency and a timely filed             
          petition.  See  Rule 13(a) and (c); Monge v. Commissioner, 93               
          T.C. 22, 27 (1989); Normac, Inc. v. Commissioner, 90 T.C. 142,              
          147 (1988).                                                                 
               The initial question in this case is whether respondent                
          determined a deficiency in petitioner’s Federal income tax within           
          the meaning of section 6211.  The term “deficiency” is generally            
          defined in section 6211(a) as the amount by which the tax imposed           
          by subtitle A or B or chapter 41, 42, 43, or 44 of the Internal             
          Revenue Code exceeds the excess of the sum of the amount shown as           
          the tax by the taxpayer upon his return plus the amounts                    
          previously assessed (or collected without assessment) as a                  
          deficiency, over the amount of rebates made.  The deficiency that           
          respondent determined in this case, based upon the disallowance             
          of an earned income credit under section 32, does not fit neatly            
          within the confines of this definition.                                     

Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  Next

Last modified: May 25, 2011