William N. and Moira M. Carlstedt - Page 20

                                                - 20 -                                                   
            respondent also raised the issue of whether petitioner materially                            
            participated in the activity of CDI for 1990 and 1991 under the                              
            "facts and circumstances" test of section 1.469-5T(a)(7),                                    
            Temporary Income Tax Regs., 53 Fed. Reg. 5726 (Feb. 25, 1988).                               
            On brief, however, respondent did not address this argument and                              
            is taken to have abandoned this position.  See Rybak v.                                      
            Commissioner, 91 T.C. 524, 566 n.19 (1988).)                                                 
                  Section 1.469-5T(f)(4), Temporary Income Tax Regs., 53 Fed.                            
            Reg. 5727 (Feb. 25, 1988), provides that taxpayers can establish                             
            the extent of their participation in an activity "by any                                     
            reasonable means."  Reasonable means "may include, but are not                               
            limited to the identification of services performed over a period                            
            of time and the approximate number of hours spent performing such                            
            services during such period, based on appointment books,                                     
            calendars, or narrative summaries."  Sec. 1.469-5T(f)(4),                                    
            Temporary Income Tax Regs.  In that respect, "Contemporaneous                                
            daily time reports, logs, or similar documents are not required                              
            if the extent of * * * participation may be established by other                             
            reasonable means."  Sec. 1.469-5T(f)(4), Temporary Income Tax                                
            Regs., supra (emphasis added).                                                               













Page:  Previous  10  11  12  13  14  15  16  17  18  19  20  21  22  23  24  25  26  27  28  29  Next

Last modified: May 25, 2011