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Federal income tax for 2002, and a deficiency of $36,548 in
petitioner Jeanne Amarasinghe’s (Ms. Amarasinghe) Federal income
tax for 2002. Because these cases present common issues of fact
and law, they were consolidated for purposes of trial, briefing,
and opinion. Rule 141(a).1 There are three issues for decision:
(1) Whether the distribution from Dr. Amarasinghe’s profit
sharing plan was made pursuant to a qualified domestic relations
order (QDRO) and therefore was taxable income to Ms. Amarasinghe
instead of Dr. Amarasinghe. We hold that it was not.
(2) If the distribution was not made pursuant to a QDRO,
what portion of the distribution was alimony and therefore income
to Ms. Amarasinghe and deductible by Dr. Amarasinghe. We hold
that $75,318 of the distribution was attributable to alimony.
(3) Whether Ms. Amarasinghe is entitled to an award of
litigation expenses from Dr. Amarasinghe. We hold that she is
not.
Background
The parties fully stipulated the facts in these cases
pursuant to Rule 122. The stipulation of facts and the
accompanying exhibits are incorporated herein by this reference.
1 Unless otherwise indicated, all Rule references are to
the Tax Court Rules of Practice and Procedure, and all section
references are to the Internal Revenue Code of 1986, in effect
for the year in issue.
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