James A. and Nancy B. Wiese - Page 3

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          be entered is not reviewable by any other court, and this opinion           
          should not be cited as authority.                                           
               Respondent determined a deficiency in petitioners’ Federal             
          income tax for the taxable year 2002 in the amount of $5,328.               
          The deficiency is attributable solely to the alternative minimum            
          tax (AMT) prescribed by section 55.                                         
               The only issue for decision is whether petitioners are                 
          liable for the AMT as determined by respondent in the notice of             
          deficiency.  Regrettably for petitioners, we hold that they are.            
                                     Background                                       
               Some of the facts have been stipulated, and they are so                
          found.                                                                      
               At the time that the petition was filed, petitioners resided           
          in Iowa City, Iowa.                                                         
               Pursuant to extensions, petitioners timely filed a joint               
          Form 1040, U.S. Individual Income tax Return, for 2002 using the            
          cash method of accounting.  On their return, petitioners claimed            
          personal exemptions for themselves and for the disabled brother             
          of petitioner James A. Wiese; together, the three exemptions                
          served to decrease petitioners’ taxable income by $9,000.  In               
          addition, petitioners itemized their deductions on Schedule A,              
          Itemized Deductions.  Included on Schedule A were deductions for            
          the following expenses:  (1) Medical and dental expenses (in                
          excess of 7.5 percent of petitioners’ adjusted gross income) in             






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