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underpayment is due to negligence or disregard of rules or
regulations. Section 6653(a)(3) defines the term "negligence" to
include any failure to make a reasonable attempt to comply with
the provisions of the Internal Revenue Code. This section also
defines the term "disregard" to include any careless, reckless,
or intentional disregard. See Neely v. Commissioner, 85 T.C.
934, 947 (1985) (for purposes of section 6653(a), "negligence" is
the lack of due care or a failure to do what a reasonable and
ordinarily prudent person would do under the circumstances).
Petitioners bear the burden of proof as to the addition to tax
for negligence. Rule 142(a); Neely v. Commissioner, supra; Bixby
v. Commissioner, 58 T.C. 757, 791 (1972).
Petitioners did not address the issue of negligence at
trial. Further, the Court is unable to find, independently,
circumstances that would exonerate petitioners from the addition
to tax. Petitioner received a graduate degree from college.
Further, petitioners submitted Form 4361 without even apparently
reading its contents. Accordingly, petitioners have failed to
carry their burden of proof, and we therefore sustain
respondent's determination with regard to the addition to tax for
negligence for 1988.
Issue 5. Section 6662(a) Accuracy-related Penalty for Negligence
for 1989 and 1990
Respondent determined an accuracy-related penalty for
negligence under section 6662(a) against petitioners for their
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