George Georgiou and Judith Georgiou A.K.A. Judy Georgiou, et al. - Page 30

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            however, we must carefully scrutinize the transactions.  Haber v.                              
            Commissioner, 52 T.C. 255, 266 (1969), affd. per curiam 422 F.2d                               
            198 (5th Cir. 1970).                                                                           
                  In determining whether the shareholder and the corporation                               
            each possessed the requisite intent at the time of the advances,                               
            the courts have examined a number of factors, including the                                    
            following:  The existence of a fixed time and plan for repayment;                              
            whether a ceiling was placed on advances; whether there was                                    
            accrual and payment of interest; whether the loans were recorded                               
            on the corporate books; if there has been a failure to repay a                                 
            mounting loan balance; who had control over the decision to                                    
            enforce the obligation; whether debt instruments were executed;                                
            the existence of earnings and profits; whether dividends were                                  
            paid; whether there is corroborated, credible testimony of the                                 
            taxpayer; the salary received by the shareholder; and the                                      
            shareholder's ability to repay.  See, e.g., Berthold v.                                        
            Commissioner, supra at 121; Wiese v. Commissioner, supra at 923;                               
            Baird v. Commissioner, 25 T.C. 387 (1955); Baird v. Commissioner,                              
            T.C. Memo. 1982-220.                                                                           
                  Because of the nature of this issue, the above factors are                               
            not exclusive, and no one factor is determinative.  The factors                                
            merely represent objective evidence helpful to the courts in                                   
            analyzing all of the relevant facts and circumstances.                                         

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