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the burden of proving that the determination was arbitrary.
Foster v. Commissioner, 80 T.C. 34, 228 (1983), affd. on this
issue 756 F.2d 1430 (9th Cir. 1985). If the taxpayer shows that
the deficiency notice is arbitrary or without foundation, the
burden of going forward with the evidence shifts to the
Commissioner. Dellacroce v. Commissioner, 83 T.C. 269, 280
(1984). Generally, this Court will not look behind the notice of
deficiency to review the information used or respondent's motives
or procedure involved in making the determination. Greenberg's
Express, Inc. v. Commissioner, 62 T.C. 324, 327-328 (1974). Our
decision with respect to the tax liability is based on the
evidence submitted at the trial of the case and not on any record
previously developed at the administrative level. Id.
Petitioner made three arguments in support of this
contention. First, he argues that respondent's concessions
before and at trial rendered the deficiency notice arbitrary as
to the remaining issues. Petitioner is incorrect. Respondent's
concession of an issue or issues prior to or at trial does not
destroy the presumptive correctness of the deficiency notice as
to the remaining issues. United States Holding Co. v.
Commissioner, 44 T.C. 323, 328 (1965), and cases cited therein.
Second, petitioner contends that the deficiency notice is
arbitrary because his canceled checks and other records were not
used to determine the deficiency. He testified that he delivered
these documents to the Internal Revenue Service (IRS) office in
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