-36-
section 6653(b), fraud means actual, intentional wrongdoing,
Mitchell v. Commissioner, 118 F.2d 308, 310 (5th Cir. 1941),
revg. 40 B.T.A. 424 (1939), or intentionally committing an act
specifically to evade a tax believed to be owing, Webb v.
Commissioner, 394 F.2d 366, 377 (5th Cir. 1968), affg. T.C. Memo.
1966-81. Respondent must prove the existence of an underpayment.
Parks v. Commissioner, 94 T.C. 654, 660 (1990). Respondent may
not rely on petitioners' failure to carry their burden of proof
as to the underlying deficiency. Parks v. Commissioner, supra at
660-661; Petzoldt v. Commissioner, 92 T.C. 661, 700 (1989).
Respondent must also prove that petitioners intended to evade
taxes by conduct intended to conceal, mislead, or otherwise
prevent tax collection. Stoltzfus v. United States, 398 F.2d
1002, 1004 (3d Cir. 1968); Parks v. Commissioner, supra at 661;
Castillo v. Commissioner, 84 T.C. 405, 408-409 (1985); Rowlee v.
Commissioner, 80 T.C. 1111, 1123 (1983). Respondent must prove
that each spouse is liable for the additions to tax for fraud.
Sec. 6653(b)(4) (for 1983, 1984, and 1985); sec. 6653(b)(3) (for
1986 and 1987). Thus, respondent must prove that each spouse
committed fraud. Hicks Co. v. Commissioner, 56 T.C. 982, 1030
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