- 28 - Goodwin v. Commissioner, 75 T.C. 424, 433 (1980), affd. without published opinion 691 F.2d 490 (3d Cir. 1982). Respondent developed his position in this case on the basis of his examination and investigation of petitioners’ returns. Cf. Powers v. Commissioner, 100 T.C. 457, 473 (1993), affd. in part, revd. in part and remanded 43 F.3d 172 (5th Cir. 1995). Other than the information relevant to the qualification of the property for the CRP contract, petitioners failed or refused to provide complete information to respondent regarding whether they were actively engaged in the trade or business of farming during the years in issue. Some of the factors respondent took into account in determining that petitioners were not engaged in the trade or business of farming include: (1) Petitioners had not engaged in the business of farming prior to their purchase of the property in 1987; (2) petitioners' only activities with respect to the property during the years in issue were those undertaken pursuant to the CRP contract; (3) petitioners planned to start a cattle operation on the land after the expiration of the CRP contract; (4) petitioners resided approximately 11 miles from the property during the years in question; (5) petitioner was employed in the construction industry and Donna M. Hasbrouck was employed as a bookkeeper during the years in issue; (6) petitioner sustained a back injury in 1993 which resulted in his listing his occupation as "disabled" on petitioners' 1994 taxPage: Previous 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 Next
Last modified: May 25, 2011