- 10 - had attended Georgetown on a disadvantaged student scholarship, he decided to honor the school’s request. By letter dated November 19, 1999, he informed Georgetown that he would make a commitment of $25,000 to the endowment. An Endowed Fund Agreement with Georgetown was executed in March 2000 wherein petitioner agreed to pay $5,000 per year toward his commitment. The first pledge payment was made in January 2000. Petitioner agreed that this pledge would be a debt of his estate. Petitioners filed a joint, self-prepared Federal income tax return timely for 1999 (original return) on which they reported the following income: Salaries & wages $145,675.15 Taxable interest income 577.97 Unemployment compensation 5,594.00 Other income (Form 1099) 3,396.60 Total income $155,243.72 No income was reported on Line 16a of the return for pension and annuity income. The return shows an income tax liability of $34,538.64, Federal income taxes withheld of $35,524.89, and an overpayment of $986.26, which was in due course refunded to petitioners. The $35,524.89 in taxes withheld did not include the taxes withheld in the SFB and Glenbrook annuity distributions earlier described. Lines 50 through 56 of the tax return, Form 1040, is for “other taxes”; Line 53 is for “Tax on IRAs and other retirement plans.” Petitioners did not report any amount on LinePage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011