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liable under section 1461 for his failure to withhold tax due
under section 881, as required by section 1442, on payments made
by such limited partnerships to A-Alphatronics Hong Kong Limited
(A-Alpha), a Hong Kong corporation, for research and development
services, to the extent that such payments were U.S. source
income.
Respondent does not contend that any of the partnerships are
shams, nor that any adjustments are required under section 482.
The notice of deficiency provides that petitioner's failure to
withhold gave rise to the following deficiencies:
Year Deficiency
1976 $189,300
1977 374,463
1978 639,555
1979 320,664
1980 321,300
On a motion for summary judgment, the moving party must show
the absence of dispute as to any material fact and that a
decision may be rendered as a matter of law. Rule 121(b);
Celotex Corp. v. Catrett, 477 U.S. 317, 323 (1986); Sundstrand
Corp. v. Commissioner, 98 T.C. 518, 520 (1992), affd. 17 F.3d 965
(7th Cir. 1994). The facts will be viewed in the light most
favorable to the nonmoving party. Elias v. Commissioner, 100
T.C. 510, 514 (1993); Naftel v. Commissioner, 85 T.C. 527, 529
(1985). The party opposing the motion must set forth specific
facts showing there is a genuine issue for trial, and cannot rest
upon mere allegations or denials. Rule 121(d); O'Neal v.
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