TAX COURT OPINION

Case: Renita Rose Best
Docket Number: 6192-07S
Judge: Swift
Opinion Type: summary
Filed: 12/23/2008
Pages: 3

STi . T .C . Summary Opinion 2008-16 0 UNITED STATES TAX COUR T RENITA ROSE BEST, Petitioner v . COMMISSIONER OF INTERNAL REVENUE, Responden t Docket No . 6192-07S . Filed December 23, 2008 . Renita Rose Best, pro se . Michael A . Pesavento , for respondent . SWIFT, Judge : This case was heard pursuant to the provisions of section 7463 of the Internal Revenue Code in effect when the petition was filed . Pursuant to section 7463(b), the decision to be entered is not reviewable by any other court, and this opinion shall not be treated as precedent for any other case . SERVED Dec 23 2008 -2- Respondent determined a $2,246 deficiency in petitioner' s Federal income tax for 2004 . The only issue for decision is whether petitioner is liable for a 10-percent $1,971 additional tax under section 72(t)(1) on an early withdrawal of $19,706 from her individual retirement account (IRA) . Unless otherwise indicated, all section references are to the Internal Revenue Code in effect for the year in issue . Background Some of the facts have been stipulated and are so found . During 2004 when petitioner was 53 years old, petitione r received a $19,706 early distribution from her IRA account at Wells Fargo Investments L .L .C . Petitioner requested the early distribution because she had lost her job with a publishing company and incurred large medical expenses . Eventually, petitioner lost her home, and she now lives on disability . On her 2004 Federal income tax return petitioner included the full $19,706 IRA distribution in income, but petitioner did not report on her return and did not pay the 10-percent additional tax generally due under section 72(t)(1) on early distributions from qualified retirement plans, including IRA accounts . See secs . 401(a), (k) (1) , 408(a), 4974(c)(1), (4) ; Dwyer v . Commissioner , 106 T .C . 337, 340 (1996) . -3- Discussio n Petitioner acknowledges that she does not qualify for any of the specific exceptions to application of the 10-percent additional tax under section 72(t)(2)(A)(i), (iii), and (iv), (F) . Petitioner asks us, however, to read into section 72(t) a financial hardship exception to the 10-percent additional tax and apply such an exception to her . We previously have rejected taxpayer requests to read into section 72(t) an exception to the 10-percent additional tax on early IRA distributions based on financial hardship . Arnold v . Commissioner , 111 T .C . 250, 255 (1998) ; Milner v . Commissioner , T .C . Memo . 2004-111 ; Gallagher v . Commissioner , T .C . Memo . 2001- 34 . We conclude that petitioner is liable for the $1,971 10- percent additional tax on her early $19,706 IRA distribution . Decision will be entere d for respondent .