- 38 - f. Implausible or Inconsistent Explanations of Behavior Petitioner maintains that he did not intend to fraudulently understate his income for 1987 and 1988. His actions, however, are consistent with those of a person possessing the intent to defraud. For example, petitioner asserts that he gave Mr. Bruno net income figures for his medical practice and that Mr. Bruno made a mistake by placing net income on the gross income line of Schedule C. This assertion is factually implausible and unsupported by the evidence. Mr. Bruno repeatedly testified, and we think truthfully so, that the income figures given to him by petitioner for 1987 and 1988 were the amounts of petitioner's total gross income for each year. Petitioner not only failed to tell Mr. Bruno there was a mistake on the gross income line of the Schedule C, but he also never mentioned this error to Ms. Davis during the civil examination. Consequently, it is difficult to believe that petitioner could have failed to notice that the total amount of the checks he received from personal injury attorneys so greatly exceeded his reported gross income. The more plausible explanation of his alleged discovery of this so-called mistake, however, is that there was no mistake. It was merely petitioner's explanation designed to shift the culpability and blame away from himself. As further support for his reliance argument, petitioner emphasized that he knew nothing about taxes, recordkeeping, orPage: Previous 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 Next
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