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distribution and the taxable amount as $22,801.56. DFAS sent a
copy of Form 1099-R to petitioner.
Also in 1996, petitioner received Social Security benefits
in the amount of $7,662. The payor, the Social Security
Administration (SSA), did not withhold any income tax from
petitioner’s benefits.
SSA reported the $7,662 paid to petitioner to the Internal
Revenue Service utilizing Form SSA-1099, Social Security Benefit
Statement. SSA sent a copy of the form to petitioner.
B. Petitioner’s Failure To Pay Estimated Tax and To File a
Return
Petitioner did not pay any estimated tax for 1996, nor did
petitioner file an income tax return for that year. Rather,
petitioner submitted a document to respondent in 1997 that
respondent was unable to process as a return. At trial,
petitioner testified that after respondent returned the document
to him: “I may have thrown it in the wastebasket.” When asked
by the Court whether he had retained a copy of what he had
submitted, petitioner replied: “Maybe, maybe not * * * .”
The document that petitioner submitted appears to have been
a “protest return” that reported no tax liability.4 The document
was signed under protest and may have been incomplete; it may
4 Petitioner testified that he claimed 14 exemptions in
order to eliminate any tax liability: “the 14 exemptions is
merely an empirical number to make my liability zero”.
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Last modified: May 25, 2011