- -9 petitioner and Gillette Tire showed that petitioner owed an additional $261,392 to Gillette Tire. A statement from Gillette Tire to petitioner dated June 1, 1990, shows a number of charges by Gillette Tire to petitioner from May 10 to June 10, 1990, and the following payments or credits to the account: 1055-A R 05/18/90 30088 -129,212.43 1875-A R 05/24/90 28824,29234.223 -4416.15 [blank] A 05/30/90 [blank] -387,637.30 The repair expenses which were claimed on Nikki's Federal income tax returns for its fiscal years ending September 30, 1988, September 30, 1989, and September 30, 1990, were allocated to Nikki's returns by Mr. John Gaeta (Mr. Gaeta), A&A's vice president. Mr. Gaeta was also responsible for allocating other expenses such as repairs, fuel, and insurance among the related companies. The repair expenses were allocated to Nikki's returns pursuant to the terms of the Nikki lease. The repair expenses incurred by petitioner and the other related ready-mixed concrete companies were allocated to the leasing companies' returns, just as certain other expenses were allocated. For example, petitioner had its own fuel pumps, and trucks of related companies as well as petitioner's trucks used those pumps. Some of the expense of the fuel pumps was later allocated to the other related companies.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
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