- 27 -
facts to provide informed advice with respect to petitioners'
1993 return and 1993 amended return. See Freytag v. Commis-
sioner, 89 T.C. at 888.
Based on the record before us, we find that petitioners have
failed to satisfy their burden of proving that they did not act
negligently with respect to their underpayment for 1993. Accord-
ingly, we sustain respondent's determination for that year
imposing the accuracy-related penalty under section 6662(a).
To reflect the foregoing,
Decision will be entered
for respondent.
10(...continued)
that a taxpayer can have a loss for 2 years and presume that a
deduction for that loss is valid. Publication 334 is based on
sec. 183(d), which, as pertinent here, makes it clear that a
presumption with respect to a taxpayer's profit objective in
conducting an activity arises only if for three out of five
consecutive taxable years the gross income that such taxpayer
derives from that activity exceeds that taxpayer's deductions
attributable to that activity.
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