Arthur F. Millard - Page 4

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          statutes petitioner cites include Ga. Code Ann. secs. 11-3-101              
          and 11-4-101 (1981).  Citing A.G. Edwards & Sons, Inc. v. Paulk,            
          25 Bankr. 913 (Bankr. M.D. Ga. 1982), petitioner contends that a            
          check is not a financial statement or money but is evidence of              
          debt.  Petitioner also cites United States v. Forcellati, 610               
          F.2d 25 (1st Cir. 1979), as illustrative of the proposition of              
          negotiable instruments law that the drawer of a check retains               
          ownership of the check.                                                     
               Section 61(a) provides that gross income includes all income           
          from whatever source derived, subject only to the exclusions                
          otherwise provided.1  In section 61(a), Congress intended “to               
          exert ‘the full measure of its taxing power’ and to bring within            
          the definition of income any ‘accession to wealth.’”  United                
          States v. Burke, 504 U.S. 229, 233 (1992) (citations omitted).              
          Consequently, the definition of gross income has a broad scope,             
          and exclusions are construed narrowly.  Commissioner v. Schleier,           
          515 U.S. 323, 327-328 (1995); Commissioner v. Jacobson, 336 U.S.            
          28, 49 (1949).                                                              


               1SEC. 61.  GROSS INCOME DEFINED.                                       
                    (a) General Definition.--Except as otherwise provided             
               in this subtitle, gross income means all income from                   
               whatever source derived, including (but not limited to) the            
               following items:                                                       
                         *    *    *    *    *    *    *                              
                         (9) Annuities;                                               





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