- 3 - In May of 2001, decedent filed for bankruptcy. Decedent listed in his bankruptcy filing total assets of $127,600 and debts in excess of $200,000. Also, in decedent’s bankruptcy filing it is indicated that during 2000 and 2001 decedent purchased a $15,000 motorcycle, a $26,000 GMC Savana, a $51,000 GMC Sierra, and a $55,000 GMC Denali. Further, in decedent’s bankruptcy filing, it is indicated that as of May of 2001 decedent owed a total of only $70,000 to the Nevada casinos at which he gambled. Six months later, in September or October of 2001, decedent’s bankruptcy case was closed. The record does not reflect the resolution of decedent’s bankruptcy proceeding. On decedent’s 2000 Federal income tax return that was filed with respondent, decedent’s $2,580,200 in total jackpot winnings was reported as “Other Income”, and an offsetting miscellaneous itemized deduction in the amount of $2,580,200 was claimed on Schedule A, Itemized Deductions, as “gambling losses”. On decedent’s 2000 Federal income tax return, no gambling winnings were reported other than the above $2,580,200 in jackpot winnings reflected on the Forms W-2G that were mailed to respondent by the Nevada casinos. Also reported as income on decedent’s 2000 Federal income tax return were total wages of $25,300, and interest income of $182.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 Next
Last modified: May 25, 2011