- 37 -                                         
          ted them of violating section 7201 for 1986 and 1988 (jury                  
          verdict).                                                                   
               After the jury verdict, petitioners filed a motion for                 
          judgment of acquittal with respect to the guilty jury verdict for           
          1987.  On September 30, 1994, the presiding judge issued a                  
          memorandum order in which he granted that motion, and a judgment            
          of acquittal was entered.                                                   
               On July 26, 1995, the Court of Appeals for the First Circuit           
          reversed the judgment entered by the District Court and rein-               
          stated petitioners' criminal conviction under section 7201 for              
          1987.  Petitioners petitioned the U.S. Supreme Court for a writ             
          of certiorari.  That petition was denied on or about November 29,           
          1995, and petitioners' conviction under section 7201 for 1987               
          became final.                                                               
                                       OPINION                                        
               Respondent bears the burden of proof on the fraud issue, and           
          that burden must be satisfied by clear and convincing evidence.             
          Sec. 7454(a); Rule 142(b).  Petitioners bear the burden of                  
          proving that respondent's deficiency determinations and those               
          under section 6661(a) are erroneous.14  Rule 142(a); Welch v.               
          Helvering, 290 U.S. 111, 115 (1933).                                        
          14  Petitioners contend on brief that, because they are not                 
          liable for the additions to tax for fraud, the respective periods           
          of limitations for 1986 and 1988 have expired.  See sec. 6501(a),           
          (c)(1).  We find below that respondent has established fraud for            
          1986 and 1988.  Consequently, the respective periods of limita-             
          tions for each of those years have not expired.  Sec. 6501(c)(1).           
Page:  Previous   27   28   29   30   31   32   33   34   35   36   37   38   39   40   41   42   43   44   45   46   NextLast modified: May 25, 2011