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from their accountant’s lack of professional care. Reinhardt v.
Commissioner, T.C. Memo. 1993-397 (no negligence when an
“incorrect return is the result of the preparer’s mistakes”). We
also take into account the Coxes’ educational and business
experience. See Pratt v. Commissioner, T.C. Memo. 2002-279. The
trial showed that Cox, though gifted in his field, knew little of
accounting. Such men should especially be able to rely on a
preparer if they give him their business records, holding no
information back, as we specifically find that he did. Given
Cox’s genuine lack of knowledge of accounting, we do not construe
his actions as constituting negligence or disregard of tax law.
See Neely v. Commissioner, 85 T.C. 934, 947-48 (1985).
To reflect the settlement of the other issues in this case,
Decision will be entered under
Rule 155.
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Last modified: May 25, 2011