- 23 -
each year in issue and that each such underpayment was due to
fraud.
C. Conclusion
Having found fraud for each year in issue, we conclude that:
(1) Section 6501(a) does not operate to bar the assessment and
collection of taxes for 1987, 1988, and 1990; (2) for 1987,
petitioner is liable for the 75-percent fraud addition to tax
under section 6653(b)(1)(A) and for the additional amount added
to the tax under section 6653(b)(1)(B); (3) for 1988, petitioner
is liable for the 75-percent fraud addition to tax under section
6653(b); and (4) for 1989 and 1990, petitioner is liable for the
75-percent fraud penalty under section 6663.
We have considered the parties' remaining arguments as to
fraud and conclude that the arguments are either without merit or
unnecessary to reach in light of our holdings above.
II. Amount of the Deficiency20
A. Unreported Gross Receipts
Although petitioner conceded unreported gross receipts,
petitioner did not concede unreported gross receipts in the
amounts determined by respondent. Petitioner contends that
respondent's reconstruction of gross receipts is overstated
20 On brief, both parties make extensive arguments concerning
who bears the burden of proof with respect to the amount of the
deficiency. We need not decide the situs of the burden of proof,
however, because the record in the instant case is sufficient for
us to reach our findings of fact without resort to the burden of
proof.
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