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his 1981 return, however, petitioner claimed an operating loss in
the amount of $8,945. Therefore, like the taxpayers in Provizer
v. Commissioner, T.C. Memo. 1992-177, "except for a few weeks at
the beginning, [petitioner] never had any money in the
[Clearwater] deal." A reasonably prudent person would have asked
a qualified independent tax adviser if this windfall were not too
good to be true. McCrary v. Commissioner, 92 T.C. 827, 850
(1989).
In fact, petitioner argues that he consulted a qualified
adviser and relied upon him in claiming the disallowed losses and
tax credits. Petitioner argues that his reliance on the advice
of Efron insulates him from the negligence additions to tax.
Under some circumstances a taxpayer may avoid liability for
the additions to tax for negligence under section 6653(a) if
reasonable reliance on a competent professional adviser is shown.
Freytag v. Commissioner, 89 T.C. 849, 888 (1987), affd. 904 F.2d
1011 (5th Cir. 1990), affd. 501 U.S. 868 (1991). Such
circumstances are not present in this case. Moreover, reliance
on professional advice, standing alone, is not an absolute
defense to negligence, but rather a factor to be considered. Id.
In order for reliance on professional advice to excuse a taxpayer
from the negligence additions to tax, the reliance must be
reasonable, in good faith, and based upon full disclosure. Id.;
see Weis v. Commissioner, 94 T.C. 473, 487 (1990); Ewing v.
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