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taxpayer bears the burden of proving that these determinations
are in error. Rule 142(a); Welch v. Helvering, 290 U.S. 111, 115
(1933).2
Section 72(t) provides for an additional tax where a person
under the age of 59-1/2 withdraws money from a qualified
retirement account, unless that person falls within an enumerated
exception. Section 72(t)(1) and (2) provides in relevant part:
SEC. 72(t). 10-Percent Additional Tax on Early
Distributions From Qualified Retirement Plans.--
(1) Imposition of additional tax.--If any
taxpayer receives any amount from a qualified
retirement plan (as defined in section 4974(c)),
the taxpayer’s tax under this chapter for the
taxable year in which such amount is received
shall be increased by an amount equal to 10
percent of the portion of such amount which is
includible in gross income.
(2) Subsection not to apply to certain
distributions.--Except at provided in paragraphs
(3) and (4), paragraph (1) shall not apply to any
of the following distributions:
(A) In general.--Distributions which
are--
* * * * * * *
(iii) attributable to the employee’s
being disabled within the meaning of
subsection (m)(7),[3]
2 Petitioners do not claim that the burden of proof shifts
to respondent under sec. 7491(a).
3 Ms. Warrington testified that the qualified plan at issue
was a sec. 401(k) plan. Distributions from a sec. 401(k) plan
are subject to sec. 72(t). See secs. 4974(c)(1), 401(a).
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Last modified: November 10, 2007