- 17 - Also as relevant to the present case, the maximum allowable deduction in any taxable year for a married individual is $2,000. Sec. 219(c). The amount of the deduction, however, may be limited where the taxpayer or the taxpayer’s spouse was, for any part of the taxable year, an active participant in a qualified retirement plan. Sec. 219(g)(1), (5)(A). Petitioner contends that he and Mrs. Kirshenbaum each contributed $2,000 to an existing traditional IRA for 1998. Petitioner further claims that he is entitled to an IRA deduction even if Mrs. Kirshenbaum is covered by the Pawtucket School’s pension plan because Mrs. Kirshenbaum does not have any vested rights in her pension plan. In addition, petitioner steadfastly claims that he is entitled to an IRA deduction “whether it’s from a rollover or from out of pocket.” However, there is no evidence to support petitioner’s contention that he or Mrs. Kirshenbaum made qualified retirement contributions in 1998 other than his unsubstantiated allegations. At trial, petitioner testified that he contributed to an existing IRA, but he could not clearly articulate whether such contribution was made to Fidelity Investments, another IRA account, or some other qualified retirement account. Most importantly, petitioner did not provide any substantiating 19(...continued) as an individual retirement annuity described in sec. 408(b). See Cobb v. Commissioner, 77 T.C. 1096, 1099 (1981).Page: Previous 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 Next
Last modified: May 25, 2011