- 12 - of the deficiencies. However, he asserts that he cooperated fully with respondent in the preparation of the returns, that he took in the records that he had at that time, and that he made payment of the taxes as computed by the IRS representative by the date she specified. Generally, the taxpayer cannot avoid the duty of filing accurate returns by placing responsibility on a tax return preparer. Metra Chem Corp. v. Commissioner, 88 T.C. 654, 662 (1987). Reliance on the advice of a professional does not necessarily demonstrate reasonable cause and good faith, unless under all the facts and circumstances, such reliance was reasonable and the taxpayer acted in good faith. Sec. 1.6664- 4(b)(1), Income Tax Regs. Where the taxpayer claims reliance on an accountant who prepared the taxpayer's return, the taxpayer must establish that the correct information was provided to the accountant and that the item incorrectly claimed or reported in the return was the result of the accountant's error. Ma-Tran Corp. v. Commissioner, 70 T.C. 158, 173 (1978); Enoch v. Commissioner, 57 T.C. 781, 803 (1972). Here, the tax preparer was not petitioners' accountant but an IRS representative. He reasonably relied on her expertise as a tax preparer. Petitioner believed from the statements made by the IRS representative that the IRS records contained his income information. However, he took no steps to verify those records.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Next
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