Universal Trust 06-15-90 - Page 3

                                                                                - 3 -- 3 -                                                                                 

                    Procedural Setting                                                                                                                                     
                              The case at hand was formerly consolidated with Johnston v.                                                                                  
                    Commissioner, T.C. Memo. 2000-315, and Ghavami v. Commissioner,                                                                                        
                    docket No. 3692-99.  The case was severed from those cases on                                                                                          
                    respondent’s motion when respondent’s motion to dismiss was                                                                                            
                              The common substantive question in the three cases is                                                                                        
                    whether $104,786 deposited in petitioner’s bank account during                                                                                         
                    1993 should be included in the gross income of petitioner, Mr.                                                                                         
                    Johnston, or Ms. Ghavami.  The statutory notices sent to                                                                                               
                    petitioner, Mr. Johnston, and Ms. Ghavami were “whipsaw” notices                                                                                       
                    designed to protect respondent’s ability to collect the proper                                                                                         
                    tax, whether petitioner, Mr. Johnston, or Ms. Ghavami should be                                                                                        
                    treated as the earner of the $104,786, and whether or not                                                                                              
                    petitioner should be recognized as a separate taxable entity.                                                                                          
                              We held a hearing on the cross-motions to dismiss the case                                                                                   
                    at hand on June 19, 20, and 27, 2000.  Mr. Chisum claimed to                                                                                           
                    represent petitioner at the hearing; he also testified briefly on                                                                                      
                    petitioner’s behalf.  The Court took the motions to dismiss under                                                                                      
                    advisement at the end of the hearing, pending the resolution of                                                                                        
                    Johnston v. Commissioner, supra.                                                                                                                       
                              In Johnston, we found that $103,420 of the $104,786 paid to                                                                                  
                    petitioner was paid for services performed solely by Mr.                                                                                               

Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  Next

Last modified: May 25, 2011