Sims v. C.I.R.

[David A. Szwak]

Sims v. C.I.R.
T.C. Summ.Op. 2002-76, 2002 WL 1825373
U.S.Tax Ct.,2002.
June 26, 2002

DINAN, J.
*1 This case was heard pursuant to the provisions of section 7463 of the Internal Revenue Code in effect at the time the petition was filed. The decision to be entered is not reviewable by any other court, and this opinion should not be cited as authority. Unless otherwise indicated, subsequent section references are to the Internal Revenue Code in effect for the year in issue.

Respondent determined a deficiency in petitioners' Federal income tax of $743 for the taxable year 1998.

The sole issue for decision is whether petitioners received unreported discharge of indebtedness income in taxable year 1998. Respondent's adjustment to the amount of Social Security benefits includable in petitioners' gross income is computational and will be resolved by our holding on the issue in this case.

Some of the facts have been stipulated and are so found. The stipulations of fact and the attached exhibits are incorporated herein by this reference. Petitioners resided in Philadelphia, Pennsylvania, on the date the petition was filed in this case.

Petitioner husband (petitioner) applied for and received a Discover credit card in 1986. At this time, petitioner resided in Philadelphia and shared an address with his mother. In the following year, petitioner moved to Camden, New Jersey. Petitioner remained at this address until 1997 when he married petitioner wife and returned to a different address in Philadelphia. During 1999, petitioner's mother changed her mailing address from the address she had previously shared with petitioner.

The records of the financial institution holding petitioner's credit card account indicate that as of April 8, 1998, the credit card balance was $3,103.91. The company's record dated September 26, 2001, indicates that a “1099-Câ€