Joyce M. Thomas - Page 4

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          years in issue.  Instead, petitioner testified that she filed               
          “tax statements”, but she could not recall when she filed the               
          statements or the nature of those statements.  In addition,                 
          petitioner made no estimated tax payments during 1999 or 2000.              
               On April 8, 2002, respondent prepared substitutes for                  
          returns for petitioner for the years in issue.  On April 9, 2003,           
          respondent sent petitioner notices of deficiency for the years in           
          issue.  Respondent determined that petitioner was liable for                
          additional taxes of $499 and $5,215 for early distributions from            
          her IRAs for 1999 and 2000, respectively.  Respondent also                  
          determined that petitioner was liable for additions to tax under            
          sections 6651(a)(1) and 6654(a), as set out above.                          
               In response to the notices of deficiency, petitioner filed a           
          petition with this Court on July 7, 2003.                                   
                                       OPINION                                        
         A.  Petitioner Is Liable for a 10-Percent Additional Tax Under               
              Section 72(t)(1)                                                        
              Respondent determined that, under section 72(t)(1),                     
         petitioner is liable for a 10-percent additional tax on early                
         distributions from her IRAs in 1999 and 2000.  Petitioner bears              
         the burden of proving that respondent erred in making this                   
         determination.  Rule 142(a).                                                 
              Section 72(t)(1) imposes a 10-percent additional tax on                 
         early distributions from qualified retirement plans.  Qualified              






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