Victor A. and Marion W. Prieto - Page 7




                                        - 7 -                                         
          petitioners hired to clean the stalls and groom, braid, and feed            
          the horses).  Nicole’s background was as a “junior” rider;2 she             
          had no experience as a trainer or running a business.  At this              
          time, Nicole had just turned 18 years old.                                  
               Petitioners hired other people besides Mr. Norick and Nicole           
          to work in the horse activity.  Petitioners hired Scott Wilson as           
          an assistant trainer, Bill Nissen as veterinarian, Ms. Sasaki as            
          bookkeeper, Patrick Hurley as accountant for the horse activity,3           
          and Carlos Soriano as a groom.  At horse shows, when the horse              
          activity needed extra help, petitioners hired people to braid the           
          horses, horseshoers, and a night watchman.                                  
               Petitioners sent the horse activity’s records to Ms. Sasaki            
          to sort the records into separate file folders, and each year               
          petitioners received a box from Ms. Sasaki with the records                 
          sorted.  Ms. Sasaki also inputted the financial records of the              
          horse activity onto a computer.  Petitioners reviewed the books             
          and records of the horse activity and their tax returns.                    
               D.   How Petitioners Conducted the Activity                            
               Petitioners created a logo for the horse activity and had              
          “business cards” and stationery that bore this logo.  Petitioners           
          also used envelopes bearing the name Fordham Farms.                         



               2  “Junior” refers to riders under 18 years old.                       
               3  Petitioners had a separate accountant, Jay Witt, who                
          prepared their individual income tax returns.                               





Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  Next

Last modified: May 25, 2011