- 16 - B. Whether Petitioner Was a Resident of the United States in 1979 1. Background The parties dispute whether petitioner was a resident of the United States in 1979.11 If petitioner was not a U.S. resident in 1979, then petitioners may not deduct the expropriation losses in 1979, or carry those losses forward to later years during which he was a U.S. resident. An alien is a resident of the United States if he or she is present in the United States and is not a mere transient or sojourner, the determination of which depends on the intended length and nature of the stay. Sec. 1.871-2(b), Income Tax Regs. The fundamental issue in determining residence is whether the alien intends to make the United States his or her home. Dawson v. Commissioner, 59 T.C. 264, 268 (1972). An alien who lives in the United States and has no definite intention as to his or her stay is a resident for purposes of the income tax. Id. at 268 n.3. 10(...continued) Sec. 7491(a). Petitioners do not contend that sec. 7491(a) applies. 11 In deciding petitioner’s residence for 1979, we consider the law then in effect. Sec. 7701(b) was enacted in 1984 effective for taxable years beginning after Dec. 31, 1984. Deficit Reduction Act of 1984, Pub. L. 98-369, sec. 138, 98 Stat. 672.Page: Previous 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Next
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