- 14 - tax adviser and supplies him with all relevant information, it is consistent with ordinary business care and prudence to rely upon his professional judgment as to the taxpayer’s tax obligations. United States v. Boyle, supra at 250-251; Commissioner v. American Assocation of Engrs. Employment, Inc., 204 F.2d 19 (7th Cir. 1953); Haywood Lumber & Mining Co. v. Commissioner, 178 F.2d 769, 771 (2d Cir. 1950). In order to qualify for this exception the taxpayer must demonstrate that: (1) Its tax adviser or return preparer had sufficient expertise to justify reliance, Zabolotny v. Commissioner, 97 T.C. 385, 401-402 (1991), affd. in part and revd. in part on other grounds 7 F.3d 774 (8th Cir. 1993); cf. Patin v. Commissioner, 88 T.C. 1086, 1129-1131 (1987), affd. sub nom. Gomberg v. Commissioner, 868 F.2d 865 (6th Cir. 1989), affd. without published opinion 865 F.2d 1264 (5th Cir. 1989), affd. sub nom. Skeen v. Commissioner, 864 F.2d 93 (9th Cir. 1989), affd. without published opinion sub nom. Hatheway v. Commissioner, 856 F.2d 186 (4th Cir. 1988); Hoffman v. Commissioner, T.C. Memo. 1982-380, (2) the taxpayer provided necessary and accurate information, Coldwater Seafood Corp. v. Commissioner, 69 T.C. 966, 974 (1978); cf. Pessin v. Commissioner, 59 T.C. 473, 489 (1972), and (3) the taxpayer actually relied in good faith on the tax adviser’s or return preparer’s judgment, New York State Association. of Real Estate Bds. Group Ins. Fund v. Commissioner, 54 T.C. 1325, 1336 (1970); Kenner v. Commissioner, T.C. Memo. 1974-273.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
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