Ted and Tammy Estes - Page 2

                                        - 2 -                                         
               The Court agrees with and adopts the opinion of the Special            
          Trial Judge, which is set forth below.                                      
                         OPINION OF THE SPECIAL TRIAL JUDGE                           
               DINAN, Special Trial Judge:  This case is before the Court             
          on petitioners’ motion, and supplemental motion, for award of               
          litigation and administrative costs pursuant to the provisions of           
          Rule 231 and of section 7430 of the Internal Revenue Code in                
          effect at the time the petition in this case was filed.                     
               Although respondent requested a hearing on this motion, we             
          find that a hearing is not necessary.  See Rule 232(a).                     
          Accordingly, we rule on petitioners’ motion on the basis of the             
          parties’ submissions and the existing record.  Petitioners                  
          resided in Oklahoma City, Oklahoma, at the time the petition was            
          filed in this case.                                                         
               The overriding issue in this case was the substantiation of            
          expenses and costs of goods sold claimed by petitioners to have             
          been incurred in connection with petitioner husband’s                       
          (petitioner) business.  While the question of whether petitioners           
          initially maintained adequate business records remains disputed             
          by the parties, the poor condition of the records at the time of            
          respondent’s examination is not disputed.  Petitioner contends              
          that a fire partially destroyed his records, making them                    
          unavailable to respondent.  The parties agree that for one reason           

Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  Next

Last modified: May 25, 2011