- 4 - Steve’s brother, were petitioner’s sole shareholders;3 Steve was petitioner’s president and was responsible for petitioner’s day- to-day operations; and petitioner operated a truck stop that sold diesel fuel and gasoline, and featured a minimart and a coffee shop. 2. Petitioner’s Books and Records A. Fuel Pump Computer Tapes During a mid-1988 Federal excise tax audit of petitioner by Henry Hart (hereinafter sometimes referred to as Hart), Hart asked Steve to show Hart the fuel pump computer tapes that underlay petitioner’s Daily Sales Records (hereinafter sometimes referred to as DSR’s), discussed infra. Steve told Hart that the underlying fuel pump computer tapes were destroyed after the information on those tapes was recorded on a DSR. On June 28, 1988, Hart asked to see and was shown the fuel pump computer tape for June 27, 1988. Hart compared this fuel pump computer tape to the DSR and found that the June 27 fuel pump computer tape showed about $200 more in diesel fuel sales than was shown on the DSR. 3Although Andy apparently figured in petitioner’s activities during petitioner’s fiscal 1990, neither side believed that he was important as a source of information in the instant case. Accordingly, the Court concluded, and announced at the start of the trial, that Andy’s absence from the trial does not give rise to any inference under Wichita Terminal Elevator Co. v. Commissioner, 6 T.C. 1158, 1165 (1946), affd. 162 F.2d 513 (10th Cir. 1947); see United States v. Rollins, 862 F.2d 1282, 1297- 1298 (7th Cir. 1988); Kean v. Commissioner, 469 F.2d 1183, 1187- 1188 (9th Cir. 1972), affg. on this issue and revg. on another issue 51 T.C. 337, 343-344 (1968).Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
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