Robert W. Boucher and Bernice L. Boucher v. Commissioner of Internal Revenue
Opinion
Opinion
Alarcon, J.
Robert W. Boucher and Bernice L. Boucher (the taxpayers) appeal from an order of the tax court upholding the determination of the Commissioner of Internal Revenue that there was an income tax deficiency for the years of 1974 and 1975.
The sole issue presented by this appeal is whether a taxpayer may deduct payments made to his former spouse where the state court, in a prior contested divorce proceeding, has awarded the payments as compensation for an interest in property, and not as. spousal support.
I.
Robert W. Boucher and his present wife, Bernice, filed joint tax returns for the years 1974 and 1975 in which payments of $700.00 a month made to his former wife Billie were deducted as alimony from his gross income. The Commissioner mailed a Notice of Deficiency to the taxpayer on September 26,1978, disallowing the deductions claimed as alimony on the ground that the payments were made in settlement of property. Consequently, the payments were not deductible by him under section 215 of the Internal Revenue Code. On December 26, 1978, the taxpayer petitioned the United States Tax Court for a redetermination of the alleged deficiencies.