Mark Spitz - Page 4

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          The proceeds  petitioner received from the sale of the Veritas              
          shares totaled $1,267,468.                                                  
          B.   Federal Income Tax Returns                                             
               1. 2000 Federal Income Tax Return                                      
               Petitioner timely filed his 2000 Federal income tax return,            
          which was prepared by a certified public accountant.  The return            
          reported wages from Veritas of $137,261, capital gains of                   
          $425,161, miscellaneous income of $8,104, and, after itemized               
          deductions of $88,844, taxable income of $481,682.  The return              
          reported regular tax of $165,719 and AMT of $898,914 for a total            
          tax liability of $1,064,611, after deducting a foreign tax credit           
          of $22.                                                                     
               On June 12, 2002, relying on the advice of Brian G.                    
          Isaacson, a tax attorney, petitioner filed a Form 1040X, Amended            
          U.S. Individual Income Tax Return, amending his 2000 Federal                
          income tax return (2000 amended return) with a Form 8275,                   



















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