Zinovy Brodsky - Page 56




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          and basis in the Sanchez Street property, petitioner relies on               
          the testimony of Mr. Dubrovsky, on which we are not required to,             
          and we shall not, rely.  In support of petitioner’s alternative              
          position regarding the sale of the Sanchez Street property,                  
          petitioner relies on the testimony of Mr. Sutton.  Based on the              
          Court’s evaluation of Mr. Sutton’s testimony, we are not required            
          to, and we shall not, rely on his testimony regarding the sale of            
          the Sanchez Street property.                                                 
               On the instant record, we find that petitioner has failed to            
          carry his burden of establishing his basis in the Sanchez Street             
          property within the meaning of section 1012 and his adjusted                 
          basis in that property within the meaning of section 1011(a).94              
          We further find on that record that petitioner has failed to                 
          carry his burden of establishing that he did not sell his inter-             
          est in that property in 1993 for $48,000.95  On the record before            
          us, we find that petitioner has failed to carry his burden of                
          establishing that he is not required to recognize for 1993 the               
          gain of $48,000 that respondent determined in the 1993 notice.               
          Claimed Schedule E Deductions                                                

               94Because petitioner does not dispute that the Sanchez                  
          Street property was rental property, on the instant record, we               
          find that petitioner has failed to carry his burden of showing               
          the decrease required by sec. 1016(a)(2) in his basis in that                
          property, determined under sec. 1012 (i.e., the cost), for                   
          depreciation allowed or allowable, whichever is greater, under               
          sec. 167(a).  See Reithmeyer v. Commissioner, 26 T.C. at 815.                
               95On the instant record, we find that petitioner has failed             
          to carry his burden of showing in the alternative that the                   
          Sanchez Street property was sold in 1995.                                    





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