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Additions to Tax
Petitioners Deficiency Sec. 6653(a) Sec. 6661
Reginald and $33,380 $1,669 $8,345
Shannon Wise1
Henry Eicher2 9,909 495 2,477
On December 14, 1995, petitioner Henry Victor Eicher
(Eicher) filed a Notice of Agreement to be Bound by the decision
in the Wises' case. Most, but not all, of the issues in Eicher's
case are the same as the issues in the Wises' case. We accepted
Eicher's agreement to be bound, but, because Eicher has the
burden of proof on all issues in dispute, Rule 142(a), and
because Eicher did not produce evidence, see Rule 149, we deemed
Eicher to have conceded all issues in his case that are not in
common with issues in the Wises' case.3
At all relevant times, Reginald Maurice Wise (Wise) and
Eicher controlled four pass-through entities, Wesco and Hersco,
which were partnerships, and Wesco Realty, Inc. (WRI) and Intent,
Inc. (Intent), which were S corporations. Several of the issues
1Respondent determined that the Wises are allowed a general
business credit of $2,675 on their 1988 joint tax return.
2Respondent allowed credits in the following amounts on
Henry Eicher's 1988 tax return: (a) General business credit,
$4,394; (b) credit for prior year minimum tax, $1,375; and (c)
foreign tax credit, $19,515.
3We deem Eicher to have conceded the passive activity loss
limitation issue and the addition to tax for negligence.
Respondent argues that the guaranteed payment issue only relates
to Eicher and is conceded. However, the guaranteed payment also
affects Wise, and we do not deem it to be conceded.
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