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neglected to explain why he failed to report interest income and
the sale of trucks.
We agree with respondent that the failure to file a 1989
return and the underreporting of gross receipts, interest income,
and/or capital gains in 1987, 1988, and 1990 is attributable to
fraud. The record shows that petitioner engaged in a pattern of
failing to file returns and underreporting income. Petitioner
failed to keep adequate records and concealed income by routing
large checks into personal accounts or endorsing them and giving
them to family members. Petitioner, as an experienced attorney,
possessed sufficient education and knowledge of his duty to file
tax returns and report income. He provided implausible
explanations and failed to present any credible evidence that the
omissions of income were accidental.
Based on the foregoing, we hold that respondent has
established by clear and convincing evidence that petitioner’s
underpayments due to the underreporting of gross receipts,
interest income and capital gains for the 1987, 1988, and 1990
tax years, and his failure to file a return for 1989, are
attributable to fraud with the intent to evade tax. Accordingly,
respondent’s determination that petitioner is liable for the
additions to tax under section 6653(b)(1)(A) and (B) for the 1987
taxable year, section 6653(b)(1) for the 1988 taxable year,
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