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Petitioner’s argument is not supported by the record.
Regardless of whether New Dimensions properly classified
petitioner as an independent contractor during this period (see
below), petitioner has not introduced credible evidence that New
Dimensions withheld income taxes from petitioner’s paychecks.
If an employer does not actually withhold taxes, the employee is
not entitled to a credit for amounts which should have properly
been withheld. Edwards v. Commissioner, 39 T.C. 78, 83-84
(1962), affd. on this issue 323 F.2d 751 (9th Cir. 1963); Goins
v. Commissioner, T.C. Memo. 1997-521, affd. without published
opinion 151 F.3d 1029 (4th Cir. 1998). The record indicates
that New Dimensions intended to treat petitioner as an
independent contractor for payroll purposes, and therefore did
not withhold taxes. Petitioner’s paychecks ceased to include
pay stubs indicating that taxes were withheld, and New
Dimensions did not report wages paid or payroll taxes withheld
on its Form 941 for this period. New Dimensions accounted for
petitioner’s compensation on a Form 1099. Petitioner did not
introduce any evidence, aside from his self-serving,
uncorroborated testimony, in support of his claim that Federal
income tax was being withheld from his pay during the disputed
pay period. It is well established that this Court is not bound
to accept a taxpayer’s self-serving, unverified, and
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