- 7 -
Commissioner's determinations with respect to the additions to
tax for fraud including: (1) Understating income, (2) maintaining
inadequate records, (3) failing to cooperate with tax
authorities, and (4) failing to make estimated tax payments. See
Recklitis v. Commissioner, 91 T.C. 874, 910 (1988).
In the instant case, the deemed admissions pursuant to Rule
37(c) include petitioners' admission to a number of indicia of
fraud. Specifically, petitioners are deemed to have admitted
that they: (1) Failed to file timely income tax returns for the
years 1987 through 1992; (2) failed to cooperate with the revenue
agent conducting the audit of their tax liability for 1987
through 1993; (3) failed to maintain and/or provide respondent
with complete and accurate records concerning their income and
expenses; (4) failed to provide the account numbers or bank names
for all accounts that they maintained during tax years 1987
through 1993; (5) fraudulently and with the intent to evade the
payment of tax understated gross receipts in the amounts of
$84,245.08, $166,894.49, $230,670.52, $248,756.27, $359,718.81,
$292,114.15, and $453,071.47 for tax years 1987 through 1993,
respectively; (6) fraudulently and with the intent to evade the
payment of tax failed to report $3,035 and $1,000 of other income
received during tax years 1987 and 1992, respectively; (7)
fraudulently and with intent to evade the payment of tax claimed
false net operating loss carry forwards in the amounts of
$19,455, $29,091, $36,439, $38,680, and $99,818 on their income
Page: Previous 1 2 3 4 5 6 7 8 Next
Last modified: May 25, 2011