- 2 -
Unless otherwise indicated, all section references are to the
Internal Revenue Code in effect for the year in issue, and all
Rule references are to the Tax Court Rules of Practice and
Procedure.
FINDINGS OF FACT
Some of the facts have been stipulated, and the stipulated
facts are incorporated in our findings by this reference.
Petitioner resided on the Allegany Reservation in New York at the
time that he filed his petition.
Petitioner is an enrolled Seneca Indian and a member of the
Haudenosaunee Confederacy (Six Nations).
During 2001, petitioner was employed by Asplundh Tree Expert
Co. (Asplundh) to cut down trees. Petitioner was paid $21,494 by
Asplundh in 2001. From February 16 through March 31, 2001,
Asplundh withheld $470.26 from petitioner’s wages. Afterwards,
petitioner filed a Form W-4, Employee’s Withholding Allowance
Certificate, claiming “exempt” from income taxes. Petitioner did
not file a Federal income tax return for 2001.
OPINION
Section 1 imposes a tax on all taxable income. Section
61(a)(1) includes in gross income “all income from whatever
source derived,” including compensation for services. Respondent
determined that the amounts paid to petitioner by Asplundh were
taxable income. Petitioner argues that these amounts are exempt
Page: Previous 1 2 3 4 Next
Last modified: May 25, 2011