- 5 - Mr. Evans had a ranching business that he operated as a sole-proprietorship, and Ms. Evans knew about Mr. Evans' involvement in this business. In 1989, Mr. Evans sold some of the business' cattle, and he deposited the proceeds into the business' bank account (the ranch account). Mr. Evans recorded this sale in the business' sales journal, and he filed the sales receipt with the business' records. Neither he nor Mr. Osherow reported this sale for Federal income tax purposes. Ms. Evans signed the tax returns at issue without reviewing them. All of these returns were prepared by an accountant, and Ms. Evans could have reviewed the returns before signing them. Ms. Evans was with Mr. Evans when she signed the returns, and she could have discussed the contents of the returns with him at or before the time that she signed them. Ms. Evans never questioned the contents of the returns, and Mr. Evans did not coerce her into signing them. Mr. Evans did not exercise undue influence over Ms. Evans with respect to their financial affairs. The Evanses maintained records on their personal finances; the records included journals, ledgers, bank statements, receipts, and canceled checks. Ms. Evans received the bank statements in the mail, and, when she did, she would place the statements in a cabinet in the Evanses' dining room. All of the Evanses' other records, including records on Mr. Evans' business, were kept in an unlocked office on the second floor of theirPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 Next
Last modified: May 25, 2011