- 58 -
the unitholders of the Roscrea Trust, consisting of the
Investment Memorandum, the Projections, the Tax Opinion,
and the Appraisal, were "reasonable and consistent" with
the documents supplied by other "packagers" of similar
investments, and the activities undertaken by the
unitholders to review and investigate the subject invest-
ment were "reasonable and consistent" with what other
investors did. Mr. Raynault does not acknowledge any of
the problems identified by the Court. His report and
analysis are simply an extension of the argument made by
petitioners' counsel.
Similarly, the gist of the report and testimony of
Professor Mundstock is that the Tax Opinion provided in the
Investment Memorandum "addressed the issues which were then
the focus of the community of tax professionals who advised
investors in such transactions" and the opinions stated
therein "were consistent with the opinions experienced
tax counsel were providing to investors in similar invest-
ments". Professor Mundstock also fails to acknowledge any
of the problems identified by the Court and described
above.
Our rejection of petitioners' position that they are
not liable for the additions to tax under sections 6653(a)
and 6661 is based entirely upon the factual record made
Page: Previous 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 NextLast modified: May 25, 2011