§5305

Petitioner also makes an alternative argument that it is entitled to relief under Act section 5305 because it had a reasonable basis for treating Mr.

Presumably, it is advantageous for a retiree to file such a waiver because the VA disability benefit is excluded from gross income under sec. 104(a) and (b) whereas the MRP constitutes taxable income. 5Neither party addressed why Federal income taxes were not withheld from petitioner's MRP. - 4 - Petitioner did not file a Federal income