-2- income taxes with additions thereto totaling approximately $331,202.39.2 Respondent has filed a motion for summary judgment under Rule 121, to which petitioner has not responded. We shall grant respondent’s motion for summary judgment. Background Petitioner won the lottery in 1997. In 1998, she sold for $1,705,000 a portion of her interest in the future lottery payments and reported the sales price as capital gains income on her 1998 Federal income tax return. Following an audit, respondent determined that this amount was taxable as gambling income at ordinary income tax rates. A notice of deficiency reflecting this determination was issued on March 19, 2002. Petitioner did not petition this Court with respect to the notice. On August 5, 2002, petitioner’s tax liability was assessed as determined in the notice of deficiency. When she failed to pay the amount due, respondent issued a notice of intent to levy on February 7, 2003. She timely requested a section 6330 hearing, which Appeals conducted telephonically with her designated representative. During this hearing, petitioner 1(...continued) references are to the Tax Court Rules of Practice and Procedure. 2 We say “approximately” as these amounts were computed before the present proceeding and have since increased on account of interest.Page: Previous 1 2 3 4 5 Next
Last modified: May 25, 2011