- 3 - redeemed and used the proceeds therefrom to purchase a truck. Petitioner knew that Mr. Orsino received funds from his mother, but did not know that Mr. Orsino’s mother gave him a savings bond or that he held title to the bond. Petitioner did not benefit from the proceeds of the savings bond. Shortly after their separation, Mr. Orsino told petitioner that he withdrew all of his 401(k) retirement funds. He did not deposit any amounts withdrawn from his 401(k) accounts into the joint checking account. Mr. Orsino had not yet reached 59-� years of age and was not disabled. On April 14, 1999, Mr. Orsino delivered to petitioner, for her signature, their joint return relating to 1998. Mr. Orsino placed all attachments (i.e., Forms W-2, Wage and Tax Statement, and Forms 1099-MISC, Miscellaneous Income) to their joint return in a sealed envelope, which he instructed her not to open. The funds withdrawn from the 401(k) accounts were reported on the joint return. Petitioner asked whether the correct amount of taxes relating to the 401(k) withdrawal were withheld, and Mr. Orsino assured her that they were. Petitioner did not open the sealed envelope containing the attachments, signed the joint return, and mailed the return to respondent. Petitioner and Mr. Orsino divorced on November 1, 1999. Their marital settlement agreement states: “In the event there are other debts or obligations that can be deemed to be jointPage: Previous 1 2 3 4 5 6 7 Next
Last modified: May 25, 2011