- 3 - engaged in the bail bond business in that State. During 1988, petitioner operated his bail bond business at five different locations in California: Redwood City, San Jose, Oakland, Hayward, and Vallejo. On petitioners' 1988 Federal income tax return, petitioner reported income from his bail bond business on four Schedules C. From the beginning of his bail bond business, petitioner's primary surety company has been Associated Bond & Insurance Agency (Associated), and, during 1988, petitioner executed bail bonds as an agent of Associated. The terms of petitioner's agency for the period from October 1, 1981, through the time of trial are set out in a written agreement with Associated (agreement). In prior years, petitioner had a similar agreement with Associated. A bail bond is a performance bond requiring the appearance of a criminal defendant at judicial proceedings. The principal on the bond is the defendant; the obligee is California, which requires the defendant's appearance; and the surety is the insurance company writing the bond, which guarantees performance. As a bail bond agent, petitioner is permitted to solicit, negotiate, and execute bail bonds on behalf of a surety company (an insurance company) with which he is affiliated and which he represents when he executes a bond. Petitioner functions as the agent of the surety company, executing bonds, collectingPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011