- 2 - Respondent determined a deficiency in petitioners’ Federal income tax of $27,414 and a section 6662(a) penalty of $5,405 for their 2003 taxable year. After concessions1 by petitioner Daniel J. Roderick (petitioner),2 the issues we must decide are whether petitioner must include in income for 2003 the entire amount of nonemployee compensation he received from GMAC Mortgage Corporation (GMAC) or whether a portion of that income belonged to another taxpayer who worked with petitioner, and whether petitioner is entitled to deduct certain nonreimbursed business expenses. Background Some of the facts have been stipulated. The parties’ stipulation of facts is incorporated in this opinion by 1Petitioner Daniel J. Roderick (petitioner) concedes that he received compensation from GMAC Mortgage Corporation (GMAC) and pension and annuity income from Fidelity Investments and that he should have reported both receipts on petitioners’ 2003 tax return. Petitioner’s concessions support respondent’s position that the sec. 6662(a) penalty is appropriate. Moreover, petitioners did not assign error to the sec. 6662(a) penalty and have therefore conceded the issue. See Rule 34(b)(4); Funk v. Commissioner, 123 T.C. 213, 215 (2004). Accordingly, petitioners are liable for the sec. 6662(a) penalty. 2Petitioners are now divorced, and petitioner Joyce A. Roderick did not appear at trial on Oct. 30, 2006, in Atlanta, Georgia. Petitioner and respondent sought to enter a stipulation of facts signed by petitioner and respondent but not by petitioner Joyce A. Roderick. By order dated Oct. 30, 2006, we dismissed the instant case for lack of prosecution insofar as it relates to petitioner Joyce A. Roderick. Respondent and petitioner read the stipulation of facts into the record.Page: Previous 1 2 3 4 5 6 7 Next
Last modified: May 25, 2011