- 4 - Respondent, noting that there is no dispute as to petitioner’s income, claims that petitioner’s deficiency is properly determined on the basis of “married, filing separately” filing status with a standard deduction and one exemption. Respondent points to the fact that petitioner did not provide any documentation with respect to his eight children, other than claiming exemptions for them on his Form W-4, Employee’s Withholding Allowance Certificate, and that petitioner did not file a joint return or elect to itemize his deductions. II. Petitioner’s Income Tax Liability A. General Rules Respondent’s determination of petitioner’s tax liability is presumed correct, and petitioner bears the burden of proving that the determination is improper. Welch v. Helvering, 290 U.S. 111, 115 (1933); Rule 142(a). Although section 7491 may shift the burden to respondent in specified circumstances, petitioner here did not satisfy the prerequisites under section 7491(a)(1) and (2) for such a shift. B. Filing Requirement The Code imposes a Federal tax on the taxable income of every individual. Sec. 1. Gross income for the purposes of calculating taxable income is defined as “all income from whatever source derived”. Sec. 61(a). Every U.S. resident individual whose gross income for the taxable year equals orPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 Next
Last modified: May 25, 2011