David J. Wierdsma - Page 3

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          resulting deficiencies and additions to tax, respondent orally               
          moved that a penalty be imposed upon petitioner pursuant to                  
          section 6673(a)(1).  Petitioner has presented no evidence to                 
          refute respondent's determinations and has refused to testify,               
          asserting the privilege under the Fifth Amendment.3                          
                                       OPINION                                         
               Section 61(a) defines gross income broadly as "all income               
          from whatever source derived".  Gross income specifically                    
          includes compensation for services.  Sec. 61(a)(1).  Furthermore,            
          respondent's determinations are presumed correct, and petitioner             
          bears the burden of proving that those determinations are                    
          erroneous.  Rule 142(a); Welch v. Helvering, 290 U.S. 111, 115               
          (1933).                                                                      
               In his post-trial memorandum petitioner contends that,                  
          because respondent has conceded the issue concerning FICA taxes,             
          the burden of proof rests on respondent to show that no other                
          portion of the deficiency determinations is based on FICA taxes.             
          Even assuming arguendo that petitioner's contention constitutes a            
          correct statement of the law, the notice of deficiency plainly               
          attributes the remainder of the deficiencies to petitioner's                 
          failure to report his wages and tips for income tax purposes.                

          3    We need not decide whether petitioner has properly asserted             
          the Fifth Amendment privilege as he has not otherwise met his                
          burden of proof.  See Petzoldt v. Commissioner, 92 T.C. 661, 684-            
          685 (1989); cf. Edwards v. Commissioner, 680 F.2d 1268 (9th Cir.             
          1982).                                                                       




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