- 4 - disbursement by the trustee of more than $2.37 million.2 Meanwhile, on October 15, 1998, petitioner and Dr. Banderas signed and timely filed a joint Form 1040, U.S. Individual Income Tax Return, for 1997. The return reflected total adjusted gross income of $304,673, consisting primarily of pension, annuity, and Social Security income of Dr. Banderas but also including $5,025 of wage income earned by petitioner.3 A reported $10,250 was shown as Federal income tax withheld, $250 of which represented withholding from petitioner’s wages. The stated balance due was $64,767. Petitioner was aware of the balance due at the time she signed the return. No payment was submitted with the return. The Banderases’ joint Form 1040 for 1998 was filed in late 1999 reporting a loss and is not at issue here. By 1999, financial pressures had apparently led Dr. Banderas to return to work. Then, on September 16, 1999, Dr. Banderas was diagnosed with cancer. The cancer was terminal, and Dr. Banderas died of complications from the disease on November 16, 1999. On October 15, 2000, petitioner signed and timely filed a joint Form 1040 for 1999 as a surviving spouse. The return reflected total adjusted gross income of $121,326, which amount incorporated wage 2 This Court takes judicial notice of the July 21, 2005, order. See Fed. R. Evid. 201; Estate of Reis v. Commissioner, 87 T.C. 1016, 1027 (1986). 3 The Banderases rounded the amounts reported on their tax returns.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 NextLast modified: November 10, 2007