- 6 -
Petitioners timely filed Form 1040, U.S. Individual Income
Tax Return, for each of their taxable years 1999 and 2000 (peti-
tioners’ 1999 return and petitioners’ 2000 return, respectively).
In petitioners’ 1999 return, petitioners reported the
following income:
Income Amount
Wages, salaries, tips, etc. 1$92,461
Taxable interest 2,333
Ordinary dividends 701
Capital gain or (loss) 76,940
Rental real estate, royalties, 9,463
partnerships, S corporations,
trusts, etc.
Other income 2230,825
Total income $412,723
1Of the $92,461 of total wages reported in petitioners’ 1999
return, The Frederick Painting Company paid $74,911.40 to Mr.
Hartsock and $17,550 to Ms. Hartsock.
2The parties agree that the $230,825 of “Other income”
reported in petitioners’ 1999 return consisted solely of peti-
tioners’ gambling winnings.
In petitioners’ 1999 return, petitioners claimed itemized
deductions totaling $245,250. Included in those itemized deduc-
tions was a deduction for $230,825 of claimed gambling losses.
In petitioners’ 2000 return, petitioners reported the
following income:
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Next
Last modified: May 25, 2011