- 2 - Some of the facts in this case have been stipulated and are so found. Petitioner resided in Chicago, Illinois, at the time she filed her petition. Section 7491(a) does not apply because this case involves legal issues. On Form 1040, U.S. Individual Tax Return, for taxable year 2000, petitioner reported $11,835 in wage income. Petitioner did not report any other income. Petitioner also claimed head of household filing status, two dependency exemptions, and the standard deduction. Petitioner claimed the earned income credit (EIC) in the amount of $3,888. Respondent received five Forms W-2G, Certain Gambling Winnings, for taxable year 2000, four from Hollywood Casino Aurora in the amounts of $2,500, $2,000, $1,800, and $1,440, respectively, and one from Showboat Marina Casino Partnership in the amount of $1,440, for a total of $9,180. From these Forms W-2G, respondent determined that petitioner had unreported gambling income of $9,180 for taxable year 2000. Accordingly, respondent increased petitioner’s adjusted gross income to $21,015 and decreased petitioner’s EIC by $1,755. Section 61(a) provides that gross income includes all income from whatever source derived, unless excludable by a specific provision of the Code. No specific code section excludes gambling winnings from gross income. Section 165(d) allowsPage: Previous 1 2 3 4 Next
Last modified: May 25, 2011