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relates to the $20,306 listed as owed on their original return.
Petitioners further stipulated that they are liable for an
addition to tax pursuant to section 6651(a)(1) for 1990 insofar
as it relates to their basis in their Price Co. stock if we found
that the shares transferred to petitioners by Drachman on October
30 and December 10, 1987, were not bona fide loans. We have so
found. Petitioners did not stipulate their liability for an
addition to tax pursuant to section 6651(a)(1) insofar as it
relates to the additional tax liability acknowledged on their
amended return filed April 20, 1992.
The Commissioner's determinations are presumed correct, and
the taxpayer bears the burden of proving otherwise. Rule 142(a);
Welch v. Helvering, 290 U.S. at 115. Some of petitioners'
liability for additions to tax pursuant to section 6651(a)(1) for
1990 has been stipulated, and petitioners have failed to meet
their burden as to the other liability.
Accordingly, respondent's addition to tax pursuant to
section 6651(a)(1) is sustained.
For the foregoing reasons,
Decision will be entered
under Rule 155.
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