William C. and Josephine Houchin - Page 1

          T.C. Memo. 2006-119                                                         


                               UNITED STATES TAX COURT                                


                  WILLIAM C. AND JOSEPHINE HOUCHIN, Petitioners v.                    
                    COMMISSIONER OF INTERNAL REVENUE, Respondent                      
                       W.C. HOUCHIN CORPORATION, Petitioner v.                        
                    COMMISSIONER OF INTERNAL REVENUE, Respondent                      


               Docket Nos. 11944-03, 11945-03.  Filed June 12, 2006.                  

               H. Cranston Pope, for petitioners.                                     
               Stephen R. Takeuchi, for respondent.                                   


                       MEMORANDUM FINDINGS OF FACT AND OPINION                        

               VASQUEZ, Judge:  Respondent determined a deficiency of                 
          $267,6611 and an accuracy-related penalty under section 6662(a)2            

               1  All amounts are rounded to the nearest dollar.                      
               2  Unless otherwise indicated, all section references are to           
                                                             (continued...)           





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