- 20 -
alter petitioner’s burden of proof, but, in such a case, we shall
consider credible secondary evidence. Malinowski v.
Commissioner, 71 T.C. 1120, 1125 (1979). Petitioner relies on
certain documents of Color Trick (viz, its articles of
incorporation and minutes of shareholders’ meetings), certain
testimony, and certain of his Federal income tax returns to
establish his entitlement to a section 1244 loss. Certain other
records, however, have not been offered by petitioner, such as
his stock certificates or the stock transfer records of Color
Trick. We do not accept the statements in petitioner’s Federal
income tax returns as proof of the facts asserted by petitioner.
A tax return is merely a statement of the taxpayer’s claim and
does not establish the truth of the matters set forth therein.
Wilkinson v. Commissioner, 71 T.C. 633, 639 (1979); Roberts v.
Commissioner, 62 T.C. 834, 837 (1974); Halle v. Commissioner, 7
T.C. 245, 247-248 (1946), affd. 175 F.2d 500 (2d Cir. 1949).
Accordingly, we hold that the evidence on which petitioner relies
is insufficient to establish his entitlement to the benefits of
section 1244. Moreover, petitioner has failed to maintain
records sufficient to establish that he is entitled to the loss
claimed with respect to his stock in Color Trick and that he
satisfies the requirements of section 1244. Sec. 1.1244(e)-1(b),
Income Tax Regs.
Page: Previous 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 NextLast modified: May 25, 2011