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petitioners' own doing, due to their hit or miss approach for
presenting evidence in this case.
We also note that the "corrected" 1991 Form 1041 for the
Delta Valley Realty Trust reported gross income of $202,454, an
indication that petitioners' real estate activities continued
to generate substantial sums for that year, at least.
As previously stated, respondent filed an amended answer,
in which increased deficiencies are asserted. These increased
deficiencies constitute new matters, as to which respondent has
the burden of proof. Rule 142(a); Achiro v. Commissioner, 77
T.C. 881, 890 (1981).
Respondent argues that the theory that was essentially
relied upon in determining the original deficiencies was relied
upon in arriving at the increased deficiencies. Accordingly,
respondent argues that she has sustained her burden of proof as
to the new matters through the "same theory" approach and
through the testimony of a revenue agent who prepared the
revised revenue agent's report upon which respondent's
increased deficiency figures are based. Insofar as the asserted
increased deficiencies are based upon CPI extrapolations, we do
not agree with respondent. Respondent cites no authority to
support her position, and we know of none.
The presumption of correctness in favor of the
Commissioner is a procedural device that requires the taxpayer
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