- 4 -
Petitioner did not maintain records of his income from his
veterinary practice. Petitioner received payments for his
veterinary services primarily in cash or by check and did not
keep records of these payments. On occasion, petitioner
permitted customers to establish a charge account. When the
customer paid the account, petitioner destroyed records of the
account receivable. Petitioner did not keep records of his
expenses from his veterinary practice, such as the costs of
medical or laboratory equipment, drugs, or medical supplies. He
discarded invoices relating to these expenses.
During the years in issue, petitioner maintained a bank
account in connection with his veterinary practice in the name
"Crossett Animal Hospital". Petitioner made deposits to this
account totaling $507, $8,462, $43,339 and $87,705, in 1989,
1990, 1991, and 1992, respectively. Petitioner was married and
had held his personal residence with his wife as tenants by the
entirety under Arkansas law. In 1987, petitioner transferred his
interest in the residence to his wife for consideration of $1.
During April 1990, petitioner filed an unsigned Form 1040,
U.S. Individual Income Tax Return, for 1989. On the unsigned
1989 return, petitioner reported $30,000 in income from the
premature IRA distribution. In a letter attached to the return,
petitioner stated that he intentionally did not sign the return
because signing the return under penalties of perjury, as
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011