United States Fifth Circuit

A tax court's decision finding that petitioner failed to accurately report his income and took improper deductions, and sustaining an assessment of penalties for the deficiencies, is affirmed where: 1) payments made under a provision of the settlement of a whistleblower lawsuit that petitioner brought against a Texas agency were not excludable under section 104(a)(2) of the Code; 2) petitioner was entitled to deduct certain expenses and losses under section 212 of the Code, and not under section 162 of the Code, and he was not entitled to deduct a payment of punitive damages; and 3) the affirmance of the accuracy-related penalties was not in error.

Appellate Information

• Decided 11/07/2007
• Published 11/08/2007

Judges

• CARL E. STEWART, Circuit Judge:, Before GARWOOD, JOLLY and STEWART, Circuit Judges.

Court

• United States Fifth Circuit

Counsel

• For Appellant:
  
• Ryan Grant Anderson (argued), McClenahan, Anderson & Stryker, San Antonio, TX, for Green., Michelle B. Smalling (argued), Tax Div., Kenneth L. Greene, Richard Thane Morrison, Deputy Asst. Atty. Gen., U.S. Dept of Justice, Tax Div. App. Section, Robert R. Di Trolio, U.S. Tax Court, Donald L. Korb, Chief Counsel, IRS, Washington, DC, for CIR.