Michael London - Page 28

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             petitioners claimed deductions provided by section 221(a)                
             for two-earner married couples.                                          
                  Petitioners filed no Federal income tax return for                  
             taxable years 1986 through 1993.  They made the following                
             estimated tax payments for those years:                                  

                            Year      Estimated Tax                                   
                            1986      $34,700                                         
                            1987      36,000                                          
                            1988      36,000                                          
                            1989      36,000                                          
                            1990      40,046                                          
                            1991      48,000                                          
                            1992      24,000                                          
                            1993      12,000                                          

             Returns of London's Cafe, Inc.                                           
                  Mr. Silverstein prepared returns on Forms 1120, U.S.                
             Corporation Income Tax Return, for London's Cafe, Inc.,                  
             for taxable years 1976 through 1985.  For each of those 10               
             years, London's Cafe, Inc., reported zero taxable income.                
             The following schedule summarizes the amounts reported on                
             behalf of London's Cafe, Inc.:                                           

                         1976  1977           197819791980 198119821983 19841985                 
             Gross receipts$63,052$66,650$56,807$52,236$52,385$54,777$55,654$63,989$66,146$77,369              
             Cost of goods32,87534,99243,59641,06940,93243,34242,96651,03653,98262,769               
             Gross profit30,17731,65813,21111,16711,45311,43512,68812,95312,16414,600               
             Total deduction30,84034,50613,75711,55210,87810,04911,43511,42410,79712,584               
             Taxable income before(663)(2,848)(546)(385)575  1,3861,2531,5291,3672,016                
             certain deductions                                                       
             Net operating loss deduction        --       --         --         --        575     1,386     1,253     1,529     1,367     2,016
             Taxable income     (663)   (2,848)      (546)      (385)         --         --        --        --        --       --

             The returns were signed by the following individuals:                    







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