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identical adjustment in docket No. 5508-99, in
order to protect the Government’s interest.
Respondent concedes this adjustment in docket No.
19027-98.
4. Respondent concedes petitioner may be entitled to
deduct a larger amount for charitable
contributions for the taxable year, as and to the
extent shown in the Rule 155 computation.
5. Respondent’s adjustments computationally
eliminated petitioner’s net operating loss for
1994. In accordance with certain of respondent’s
concessions and for purposes of the Rule 155
computation, respondent concedes petitioner
incurred a net operating loss for 1995, in an
amount at least equal to $48,872, and that it may
be carried back to petitioner’s 1992 taxable year.
6. Respondent determined petitioner was liable for an
accuracy-related penalty pursuant to sec. 6662(a).
Respondent concedes that determination.
II. Docket No. 4816-99, Joseph P. and Jean Ann Richard:
A. 1994:
1. The parties previously agreed to increase and
decrease taxable income to account for a Schedule
A expense, Schedule C expenses and depreciation,
Schedule E income and expenses, and the self-
employment tax and the self-employment tax
deduction.
2. Respondent made various computational changes to
petitioners’ taxable income so that the limitation
of itemized deductions was increased, itemized
deductions were eliminated, the standard deduction
was allowed, and the exemption amount under sec.
151(d)(3) was reduced. The extent to which these
changes affect petitioners’ ultimate liability
will be calculated in the Rule 155 computation.
B. 1995:
1. The parties previously agreed to increase and
decrease taxable income to account for a Schedule
A expense, Schedule C expenses and depreciation,
Schedule E income and expenses, and the self-
employment tax and the self-employment tax
deduction.
2. Respondent made various computational changes to
petitioners’ taxable income so that the limitation
of itemized deductions was increased, itemized
deductions were eliminated, the standard deduction
was allowed, and the exemption amount under sec.
151(d)(3) was reduced. The extent to which these
changes affect petitioners’ ultimate liability
will be calculated in the Rule 155 computation.
3. Respondent increased petitioners’ taxable income
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