Albert C. Johnson - Page 10

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          vein, petitioner credibly testified that he acted as an agent for           
          Mr. Stennett and the Vanderhaydens because he was "trying to help           
          a fellow breeder * * * and trying to promote a breed of cattle that         
          [he] thoroughly believed in".  Nonetheless, petitioner failed to            
          convince us that the amount of unreported gross receipts for the            
          years in issue, as stipulated,6 included cash payments he made to           
          the Vanderhaydens and/or Mr. Stennett (and others) as agent for             
          others.  Further, petitioner failed to show that other than the             
          amount by which petitioner's cattle-breeding receipts were reduced          
          to reflect amounts petitioner paid to the Vanderhaydens and Mr.             
          Stennett (the Cattle Company) by check, respondent was aware of             
          cash payments to them in reconstructing petitioner's income.  Mr.           
          Stennett as well as Marion Vanderhayden testified that in examining         
          their books and records, they could not differentiate which of the          
          payments they received from petitioner represented payments for             
          cattle petitioner purchased from them for his own operation, and            
          which represented proceeds from sales to others in which petitioner         
          acted as their (the Vanderhaydens' or Mr. Stennett's) broker.               
          Petitioner's lack of records, as well as the skimpy record before           
          us, inhibit us from further reducing the stipulated unreported              

               6    The stipulated amount of petitioner's cattle-breeding             
          gross receipts was reduced to reflect:  (1) Amounts petitioner              
          paid the Vanderhaydens by check as follows: 1991--$14,241, 1992--           
          $1,500, and 1993--$700; and (2) amounts petitioner paid Mr.                 
          Stennett (The Cattle Company) by check as follows: 1992--                   
          $1,450.23, and 1993--$12,500.                                               

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