Harold T. and Francesca Redman - Page 6




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          code, and by this measure is enacted into law, it meets the                 
          statutory and regulatory requirements described above.  Cf.                 
          Givens v. Commissioner, 90 T.C. 1145, 1149-1151 (1988).  Mere               
          approval by a city council of a collective bargaining agreement             
          negotiated by a city and a union does not, without explicit                 
          incorporation into the city’s code, meet the requirements                   
          described above.  See Rutter v. Commissioner, supra at 468;                 
          Brooks v. Commissioner, T.C. Memo. 1997-568.                                
               At trial, petitioner argued that Rev. Rul. 81-47, 1981-1               
          C.B. 55, stands for the proposition that any payment made to a              
          disabled police officer is excludable from gross income under               
          section 104(a)(1).2  Petitioner overstates the breadth of the               
          revenue ruling.  The revenue ruling involved a police officer               
          injured in the line of duty.  State statute provided that all               
          collective bargaining agreements entered into by the county had             
          to be approved by “legislative acts” of the county council and              
          incorporated by reference into the county code.  Adoption by the            
          council had the effect of enacting provisions of the collective             
          bargaining agreement into law.  The ruling found that the county            


               2Generally, revenue rulings are not regarded as precedent in           
          this Court.  In the appropriate circumstances, however, revenue             
          rulings may be treated as concessions by respondent.  See Cascade           
          Designs, Inc. v. Commissioner, T.C. Memo. 2000-58 (and citations            
          therein).  Because petitioner cites a revenue ruling that is                
          distinguishable from the facts in this case, the necessary                  
          circumstances to treat the revenue ruling as a concession are not           
          present.                                                                    





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