Clifford Ray Wood, Sr. and Danielle Denise Levering-Wood - Page 7

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          proof has not shifted to respondent with respect to the issue in            
          the present case.                                                           
               Moreover, deductions are a matter of legislative grace and             
          are allowed only as specifically provided by statute.  INDOPCO,             
          Inc. v. Commissioner, 503 U.S. 79, 84 (1992); New Colonial Ice              
          Co. v. Helvering, 292 U.S. 435, 440 (1934).                                 
               Section 151(a) authorizes deductions for the exemptions                
          provided by that section.  In particular, section 151(c)(1)                 
          provides an exemption for each of a taxpayer’s dependents, as               
          defined in section 152, who is a child of the taxpayer and who              
          has not reached the age of 19 by the close of the taxable year.             
          Sec. 151(c)(1)(B).                                                          
               Section 152(a)(1) defines the term “dependent” to include a            
          taxpayer’s child, provided that more than half of the child’s               
          support was received from the taxpayer or is treated under                  
          section 152(e) as received from the taxpayer.                               
               In the case of a child of divorced parents, section                    
          152(e)(1) provides as a general rule that the child shall be                
          treated as receiving over half of his or her support from the               
          custodial parent.  Section 1.152-4(b), Income Tax Regs., provides           
          that custody “will be determined by the terms of the most recent            
          decree of divorce” if there is one in effect.  In the event of              
          so-called split or joint custody, “‘custody’ will be deemed to be           
          with the parent who, as between both parents, has the physical              






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