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$68,713. Timely filed amendment No. 1, at line 1, column A, also
incorrectly shows a negative $52,690 as the previously reported
gross income. Amendment No. 1 reports a corrected adjusted gross
income of negative $150,132. The revised Form 1040 for 1996
attached to amendment No. 1 shows the same amount for total and
adjusted gross income. During the examination of the 1998
return, petitioner produced a copy of a handwritten note using
the same language as above but claiming a loss of $150,132, which
note is alleged by petitioner to have been attached to amendment
No. 1.
The Court is not convinced that petitioner's handwritten
notes were attached to the returns when they were received by the
Internal Revenue Service. The Court will, nevertheless, assume
for purposes of discussion that they were. The question remains
as to the efficacy of the notes to waive successfully the
carryback period.
The essence of the statute is an unequivocal and binding
communication of an election to waive the carryback period. See
Young v. Commissioner, 83 T.C. at 839.
In each note, petitioner listed an amount of NOL intended to
be carried forward and the year from which it was being carried
forward. The amount listed on the original return did not jibe
with the amount in the handwritten note. The amount listed in
the undated handwritten note that petitioner alleges was attached
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