Franco Robert and Linda Noel Stone - Page 3

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               Respondent determined a deficiency in petitioners’ Federal             
          income tax of $1,398 for the taxable year 2001.                             
               The issues for decision are: (1) Whether petitioners are               
          entitled to a dependency exemption deduction for petitioner’s               
          son, Shane Owen Stone (Shane).  (References to “petitioner” in              
          the singular are to petitioner Franco Robert Stone.)  We hold               
          that they are not.  (2) Whether petitioners are entitled to a               
          child tax credit for Shane.  We hold that they are not.                     
          Background                                                                  
               Some of the facts have been stipulated, and they are so                
          found.  We incorporate by reference the parties’ stipulation of             
          facts and accompanying exhibits.  At the time that the petition             
          was filed, petitioners resided in Lakewood, Washington.                     
               Before his marriage to petitioner Linda N. Stone, petitioner           
          was married to Laurie F. Stone (Laurie).  Petitioner and Laurie             
          had two children, Shane, born June 29, 1986, and Christopher                
          Robert Stone, born May 12, 1975.                                            
               On August 23, 1989, petitioner and Laurie were divorced                
          pursuant to a Decree of Dissolution of Marriage (divorce decree)            
          entered by the Pierce County Superior Court of the State of                 
          Washington (the Superior Court).  In the divorce decree,                    
          petitioner and Laurie were granted joint custody of the children.           
          The divorce decree made no provision for the payment of child               
          support.  With respect to the dependency exemption, the divorce             






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