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determination that petitioner is not entitled to rental expense
deductions in excess of those respondent allowed.
4. Roth IRA Distribution
A distribution from a Roth IRA is not includable in the
owner's gross income if it is a qualified distribution or to the
extent that it is a return of the owner's contributions to the
Roth IRA. Sec. 408A(d)(1); sec. 1.408A-6, Q&A-1(b), Income Tax
Regs. Distributions from a Roth IRA that are made within 5 years
after an individual made the first contribution to that Roth IRA
are not qualified distributions. Sec. 408A(d)(2)(B).
Petitioner had withdrawn all funds from her Roth IRA by
September 21, 1999. Because this distribution occurred less than
5 years after she opened the account, it is not a qualified
distribution. Thus, the $171 that exceeds petitioner’s $2,000
contribution is includable in her income. See sec. 1.408A-6,
Q&A-4, Income Tax Regs. Respondent is sustained on this issue.
5. Addition to Tax for Failure To File a Tax Return
Under section 7491(c), the Commissioner has the burden of
production in any court proceeding with respect to the liability
of any individual for any penalty or addition to tax. Higbee v.
Commissioner, 116 T.C. 438, 446-447 (2001). In order to meet his
burden of production, the Commissioner must come forward with
sufficient evidence indicating that it is appropriate to impose
the addition to tax for failure to file in the particular case.
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