- 2 -
Neither petitioners’ motion nor respondent’s response
thereto requests an evidentiary hearing, and the Court
concludes that such a hearing is unnecessary for the
disposition of petitioners’ motion. See Rule 232(a)(2),
Tax Court Rules of Practice and Procedure. We will decide
petitioners’ motion on the basis of the record in this case,
including petitioners’ motion, respondent’s response, and
the various exhibits attached thereto. At the time they
filed their petition, petitioners resided at Morris,
Minnesota.
Background
Respondent determined deficiencies in petitioners’
self-employment taxes for 1994 of $5,139 and for 1995 of
$5,048. Respondent’s determination was based upon the
contention that certain payments received from petitioners’
farming corporation constituted “net earnings from self-
employment” pursuant to section 1402(a)(1) of the Internal
Revenue Code. Hereinafter, all section references are to
that Code unless stated otherwise.
As a general rule, section 1402(a)(1) defines “net
earnings from self-employment” to exclude rentals of farm
land and personal property, but it sets forth an exception
to the general rule if the rental income is derived under an
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 Next
Last modified: May 25, 2011