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petitioner admitted that he did not research the tax
ramifications that might result from his request for a hardship
distribution beyond looking at section 401(k)(2)(B)(i).
Petitioner also admitted that he could have overlooked and/or
misunderstood the 10-percent additional tax exceptions enumerated
in section 72(t)(2).
Upon review of section 72(t)(2), we cannot find any
exception that would exempt the distribution made to petitioner
in taxable year 2003. Moreover, petitioner admits that his
argument that the 10-percent additional tax should not apply is
based on a provision pertaining to the request for disbursement
and not, as we are concerned with here, the taxation of such a
disbursement. Distributions from an individual retirement plan
used for higher education expenses of the taxpayer are exempt
from the 10-percent additional tax to the extent such
distributions do not exceed the qualified higher education
expenses of the taxpayer for the taxable year. The qualified
higher education expenses exception applies, however, only in the
case of a distribution from an individual retirement plan (IRA).
Petitioner’s QRP is a section 401(k) plan, not an IRA.
Therefore, the qualified higher education expenses exception is
inapplicable. Because the distribution made to petitioner from
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