- 3 - Hamilton County, Tennessee, and incorporated into that court’s final divorce decree. The first few pages of the MDA are dedicated to the division of marital property. Under the heading “Alimony”, paragraph 14(a) of the MDA provided that Dr. Perkins would pay to petitioner, until May 9, 2004, when she would reach the age of 59-1/2, alimony in futuro in an amount equal to 20 percent of Dr. Perkins’s earned income. Paragraph 14(b) of the MDA stated that Dr. Perkins’s obligation to pay alimony in futuro would cease upon the death of petitioner, upon petitioner’s remarriage, or at Dr. Perkins’s death should it occur before May 9, 2004. Under paragraph 14(f), the MDA provided that if Dr. Perkins was to become disabled and receive benefits from his professional disability policy, petitioner was to receive 20 percent of the policy benefits until Dr. Perkins’s alimony obligation terminated on May 9, 2004. At some point prior to January 1, 2003, Dr. Perkins became disabled and started receiving payments under his professional disability policy. During 2003, Dr. Perkins paid to petitioner $26,400 of his policy benefits for that year.2 Petitioner filed, in a timely manner, a Form 1040, U.S. Individual Income Tax Return, for the 2003 taxable year, on which she failed to report any of the $26,400 paid to her by Dr. 2 That amount was paid to petitioner in 12 monthly installments of $2,200.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 NextLast modified: March 27, 2008