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the worthlessness of a debt by offering proof of identifiable
events which establish that the debt will not be paid in the
future. Therefore, a taxpayer's subjective opinion that a debt
is uncollectible, standing alone, is not sufficient evidence that
the debt is worthless. Fox v. Commissioner, 50 T.C. 813, 822
(1968), affd. per curiam per order 25 AFTR 2d 70-891 (9th Cir.
1970). Among the objective factors considered by courts to
determine worthlessness are: The debtor's earning capacity;
events of default, whether major or minor; insolvency of the
debtor; the debtor's refusal to pay; actions of the creditor in
pursuing collection, i.e., whether the creditor failed to take
collection action prior to claiming the deduction; subsequent
dealings between the parties; and lack of assets. American
Offshore, Inc. v. Commissioner, supra at 594-595. No single
factor is conclusive. Id. at 595.
We conclude that petitioner has failed to meet his burden of
proving the worthlessness of the debt during the year in
question. Petitioner presented scant evidence concerning Ms.
Laumbattus' ability to repay the loan in 1991 and took no legal
action in an attempt to collect on the debt. Specifically,
petitioner offered no evidence in regard to Ms. Laumbattus'
solvency or diminished earning capacity. Furthermore, no
promissory note exists from which we could ascertain the nature
of Ms. Laumbattus' obligation or petitioner's remedies upon
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