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After concessions by respondent2, the issues for decision
are as follows:
(1) Whether petitioners are liable for civil fraud
additions to tax under section 6663 for 1991 and 1992.
(2) Whether petitioners are liable for a negligence
addition to tax under section 6662(a) for 1993.
(3) What is the amount of petitioners’ unreported
income for 1991 through 1993.
FINDINGS OF FACT
Some of the facts have been stipulated; the stipulations and
the stipulated exhibits are incorporated herein by this
reference.
2In the answer, respondent conceded that the proper amounts
of petitioners’ 1993 deficiency and addition to tax are not more
than $2,800 and $560, respectively. However, on opening brief,
respondent asks us to conclude that petitioners are liable for a
1993 negligence addition to tax “in the amount of $594”. We
regard respondent’s statement on brief as a clerical error and
not an attempt to withdraw part of the concession.
Also, at five places in paragraph 7 of the answer,
respondent stated that at least a part of petitioners’ 1993
underpayment is due to fraud. In the prayer for relief,
respondent asked: “That the additions to tax for the years 1991
through 1993 under the provisions of I.R.C. � 6663, as set forth
in the notice of deficiency, be in all respects approved.” In
the prayer for relief, respondent did not refer to the section
6662(a) addition to tax for negligence. On brief, respondent
deals with fraud for only 1991 and 1992, and deals with
negligence for 1993. We conclude that (1) Respondent did not
intend to assert the fraud addition to tax for 1993, and (2)
respondent did not intend to concede the negligence addition to
tax for 1993, except to the extent indicated in the first
paragraph of this footnote.
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