- 13 -
to establish that he provided his accountant with all of the
necessary information to prepare properly his returns or that he
received guidance from his accountant as to the propriety of the
claimed deductions. Moreover, petitioner did not call his
accountant as a witness to testify about the information
petitioner provided him for calculating his Federal income tax
liability. We cannot assume the testimony of the absent witness
would have been favorable to petitioner. Rather, the normal
inference is that it would have been unfavorable. Wichita
Terminal Elevator Co. v. Commissioner, 6 T.C. 1158, 1165 (1946),
affd. 162 F.2d 513 (10th Cir. 1947). For the foregoing reasons,
we conclude that petitioners are liable for accuracy-related
penalties under section 6662(a) for 1994 and 1995.
Decisions will be entered
under Rule 155.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13
Last modified: May 25, 2011