Randal W. Howard - Page 6




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          protester type rhetoric.  Accordingly, we hold that the payments            
          received by petitioner from FLBS during 1993, 1994, and 1995,               
          constitute taxable income to petitioner.2                                   
               Respondent bears the burden of proving the alleged increased           
          deficiency for 1993.  See Rule 142(a).  Respondent argues that              
          the Form 1040 that petitioner submitted for 1993 was invalid,               
          and, as a result, respondent could not validly make assessments             
          based on the 1993 Form 1040 without first sending to petitioner a           
          deficiency notice for that year.  Respondent argues that the                
          erroneous assessment should not have been subtracted from the               
          total corrected tax liability for 1993 in the notice of                     
          deficiency.  Respondent states that the erroneous assessment of             
          tax and addition to tax must, and will, be abated.  We agree.               
          Petitioner’s Form 1040 for 1993 was invalid because it was not              
          signed under penalties of perjury.  See sec. 6065; Beard v.                 
          Commissioner, 82 T.C. 766, 777 (1984), affd. 793 F.2d 139 (6th              
          Cir. 1986); see also Richardson v. Commissioner, 72 T.C. 818, 824           
          (1979) (stating that a signature on an attached letter is not               
          considered an imputed signature on the return itself).                      
          Respondent has established the correct amount of petitioner’s               
          1993 Federal income tax liability and presented sufficient                  

               2Respondent determined that petitioner was self-employed for           
          the year 1993 and a regular employee for the years 1994 and 1995.           
          Respondent has presented ample evidence in the form of testimony,           
          employment agreements, benefits, and tax forms to sustain this              
          position.                                                                   





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