- 26 -
See, e.g., Blackmer v. Commissioner, 70 F.2d 255, 257 (2d Cir.
1934); Akerson v. Commissioner, T.C. Memo. 1998-129 (and the
cases cited therein). Petitioner's testimony was believable and
was corroborated by the testimony of Ms. Stacey, whom we also
find credible. Although she could not say with certainty the
number of kegs sold, or whether petitioner had portable keg taps
on hand, Ms. Stacey did see kegs of beer sold to go at the
Bullfrog.
We are satisfied from the record that petitioner did in fact
sell kegs of beer to go at a price of $5 over cost. The only
question remaining is the quantity sold. Bearing heavily against
petitioner, whose inexactitude is of his own making, we find, on
the basis of the record before us, that petitioner sold 40 kegs
to go during each year in issue. Cf. Cohan v. Commissioner, 39
F.2d 540 (2d Cir. 1930). Accordingly, we conclude that
petitioner's gross receipts from the sale of keg beer are as
follows:
Over-the-Bar To-Go Total
Year Gross Receipts Gross Receipts Gross Receipts1
1987 $9,120.87 $1,125.20 $10,246.07
1988 15,365.79 1,132.00 16,497.79
1989 17,214.62 1,224.40 18,439.02
1990 15,735.56 1,248.00 16,983.56
1See Table I in the attached appendix.
2. Canned Beer Sales
Petitioner asserts that respondent erred by calculating
gross receipts from the sale of canned beer on the assumption
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