Pamela L. Light - Page 5

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          bears the burden of proving that respondent’s determination in              
          the notice of deficiency is erroneous.  See Rule 142(a); Welch v.           
          Helvering, supra at 115.                                                    
          Taxation of Alimony                                                         
               An individual may deduct from his or her taxable income the            
          payments he or she made during a taxable year for alimony or                
          separate maintenance.  Sec. 215(a).  Conversely, the recipient of           
          alimony or separate maintenance payments must include those                 
          payments when calculating his or her gross income.  Sec.                    
               Section 71(b)(1) defines “alimony or separate maintenance              
          payment” as any payment in cash if:                                         
                    (A) such payment is received by (or on behalf of) a               
               spouse under a divorce or separation instrument,                       
                    (B) the divorce or separation instrument does not                 
               designate such payment as a payment which is not includable            
               in gross income under this section and not allowable as a              
               deduction under section 215,                                           
                    (C) in the case of an individual legally separated from           
               his spouse under a decree of divorce or of separate                    
               maintenance, the payee spouse and the payor spouse are not             
               members of the same household at the time such payment is              
               made, and                                                              
                    (D) there is no liability to make any such payment for            
               any period after the death of the payee spouse and there is            
               no liability to make any payment (in cash or property) as a            
               substitute for such payments after the death of the payee              

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