- 12 -
understatement of income, inadequate records, or implausible or
inconsistent explanations of behavior. Bradford v. Commissioner,
796 F.2d 303, 307 (9th Cir. 1986), affg. T.C. Memo. 1984-601.
We previously granted respondent's motions for partial
summary judgment that petitioner is liable for income tax
deficiencies attributable to his failure to report the wages that
he received from American Airlines for the taxable years 1983
through 1987. Fox v. Commissioner, T.C. Memo. 1993-37. It is
undisputed that petitioner filed false Forms W-4 with American
Airlines during the years in issue to avoid the withholding of
Federal income taxes from his wages. See Miller v. Commissioner,
94 T.C. 316, 335-336 (1990); Castillo v. Commissioner, 84 T.C.
405, 410 (1985). His failure to report wages and his filing of
false Forms W-4, when considered in conjunction with the
frivolous arguments that petitioner has relied upon throughout
these proceedings, amount to clear and convincing evidence of
fraud justifying the addition to tax under section 6653(b).
Rowlee v. Commissioner, 80 T.C. at 1125-1126; Habersham-Bey v.
Commissioner, 78 T.C. 304, 313-314 (1982); Granado v.
Commissioner, T.C. Memo. 1985-237, affd. 792 F.2d 91 (7th Cir.
1986). In short, we are satisfied that petitioner's entire
course of conduct provides clear and convincing evidence of
petitioner's fraudulent intent, and, therefore, we will grant
respondent's motions for summary judgment as to the additions to
tax for fraud.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Next
Last modified: May 25, 2011