David W. Chiu - Page 25

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            $70,000.  However, petitioner admits that he did not disclose the                            
            fact that he had wage income from Varian in 1990, which was                                  
            earned in the United States.  In light of this fact, it would not                            
            have been reasonable for petitioner to rely on the advice                                    
            received at the U.S. consulate.  Marprowear Profit-Sharing Trust                             
            v. Commissioner, 74 T.C. 1086 (1980), affd. without published                                
            opinion 673 F.2d 1300 (3d Cir. 1981).                                                        
                  On this record, we cannot conclude that petitioner, a                                  
            college-educated individual who had filed returns for the                                    
            previous 2 years, undertook a reasonable and sufficient inquiry                              
            as to his obligation to file in 1990.  Given that he earned                                  
            significant wage income in the United States during 1990, which                              
            was subject to withholding, and resided in the United States for                             
            over 10 months of that year, we do not believe that petitioner                               
            had a reasonable basis for concluding that no income tax return                              
            was due.  Therefore, because petitioner has failed to establish                              
            reasonable cause for his failure to timely file his 1990 return,                             
            he is liable for the addition to tax under section 6651(a)(1).                               
            Failure To Pay Estimated Tax                                                                 
                  Respondent also determined an addition to tax for failure to                           
            pay estimated income tax under section 6654(a).  The addition to                             
            tax under section 6654(a) is mandatory unless petitioner can show                            
            that he comes within one of the exceptions of section 6654(e).                               
            Hudson v. Commissioner, 103 T.C. 90, 110 (1994), affd. without                               

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