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computation is the tax that was computed under the income-
averaging provisions of section 1301. Petitioner contends that
"regular tax" means the tax computed outside the income-averaging
provisions of section 1301 under section 1. The tax under
section 1 would have been higher than the tax under the income-
averaging provisions of section 1301 and, therefore, would lessen
petitioner's liability for the AMT. Petitioner's argument was
rejected in Sparrow v. Commissioner, 86 T.C. 929, 934 (1986), and
Walker v. Commissioner, T.C. Memo. 1991-469, affd. without
published opinion 995 F.2d 235 (9th Cir. 1993). Respondent,
therefore, is sustained on this issue.10
Reviewed and adopted as the report of the Small Tax Case
Division.
Decision will be entered
for respondent.
10 The Court recognizes that the Walker and Sparrow cases
above were both decided under the earlier version of sec. 1301.
The Court is not persuaded that the differences between the
earlier and present versions of sec. 1301 preclude the rationale
of these cases from applying in the instant case.
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