- 53 -
nom. Cowles v. Commissioner, 949 F.2d 401 (10th Cir. 1991);
Marine v. Commissioner, 92 T.C. 958, 992-993 (1989), affd.
without published opinion 921 F.2d 280 (9th Cir. 1991); McCrary
v. Commissioner, 92 T.C. 827, 850 (1989); Rybak v. Commissioner,
91 T.C. 524, 565 (1988). Pleas of reliance have been rejected
when neither the taxpayer nor the advisers purportedly relied
upon by the taxpayer knew anything about the nontax business
aspects of the contemplated venture. David v. Commissioner,
supra, Goldman v. Commissioner, supra; Freytag v. Commissioner,
supra; Beck v. Commissioner, 85 T.C. 557 (1985); Buck v.
Commissioner, supra; Lax v. Commissioner, T.C. Memo. 1994-329,
affd. without published opinion 72 F.3d 123 (3d Cir. 1995); Sacks
v. Commissioner, supra; Steerman v. Commissioner, T.C. Memo.
1993-447; Rogers v. Commissioner, T.C. Memo. 1990-619; see also
the Plastics Recycling cases cited supra note 13.
b. Maxfield
Maxfield had no education, special qualifications, or
professional skills or experience in plastics engineering,
plastics recycling, or plastics materials. He did not consider
himself to be an investment analyst or an expert in tax shelters.
Maxfield never represented to the members of Sann & Howe that he
was an expert in plastics recycling or engineering, and he always
stressed that he was not an investment analyst. Even during the
course of his testimony, in recounting his observations at PI and
his understanding of how the machines worked, Maxfield was
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