Christine Ann Elliott - Page 8




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          receipt of the income.  See Reser v. Commissioner, 112 F.3d 1258,           
          1265 (5th Cir. 1997), affg. in part and revg. in part T.C. Memo.            
          1995-572; sec. 1.6015-3(c)(2)(i)(A), Income Tax Regs.                       
               Petitioner and Mr. Elliott separated in 2003, and they had             
          lived apart for over 12 months at the time of the filing of the             
          petition.  However, as noted above, the items giving rise to the            
          deficiency on the joint return are the unreported early                     
          distributions from petitioner’s separate IRA.  Petitioner allowed           
          Mr. Elliott to fill out the early distribution forms, petitioner            
          signed her name to the forms, and the distribution was deposited            
          into petitioner and Mr. Elliott’s joint bank account.  Petitioner           
          admitted that she knew about the IRA withdrawals, and that she              
          discussed it with Mr. Elliott before they withdrew the amounts.             
               Petitioner argues that her cognitive deficiencies and                  
          learning disabilities prevent her from understanding forms and              
          numbers, so she had to rely on others, including Mr. Elliott, to            
          prepare her tax returns and handle her finances.  Petitioner                
          testified that Mr. Elliott filled out financial forms, and she              
          signed them, trusting that her husband was doing what was in her            
          best interest since she could not comprehend the forms.  Even               
          though petitioner could not comprehend forms, she testified that            
          she asked Mr. Elliott questions to determine whether the amounts            
          on the return were correct.  She admitted, however, that she did            
          not ask him whether the IRA distributions were reported on the              







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