- 31 - Mr. Sutton as the return preparer. The 1993 joint return identi- fied Richard J. DiBernardo, C.P.A. (Mr. DiBernardo), as the return preparer.8 At the time the 1993 joint return was being prepared, respondent was conducting an examination of certain of petitioner’s tax returns for years prior to 1993. On page 1 of the 1991 joint return, petitioner and Ms. Brodsky reported, inter alia, the following: Line on Page 1 of Amount Item of Income or (Loss) the 1991 Return Reported Wages, salaries, tips, etc. 7 $66,852 Taxable interest income 8a 590 Dividend income 9 642 Taxable refunds of state and 10 1,428 local income taxes Business income or (loss) 12 20,811 Total pensions and annuities 17a 14,786 Rents, royalties, partnerships, 18 (10,493) estates, trusts, etc. Other income2 22 883 1Petitioner and Ms. Brodsky reported on page 1, line 17b, that none of the reported amount of pensions and annuities was taxable. 2Petitioner and Ms. Brodsky described their “Other income” as an “INVESTMENT INTEREST ADJUSTMENT”. In their 1991 joint return, petitioner and Ms. Brodsky reported “adjusted gross income” of $79,242, “Itemized deductions” of $56,819, and “Taxable income” of $13,823. The 1991 joint return included Schedule C, Profit or Loss From Business (Schedule C). The 1991 Schedule C indicated that petitioner operated an audio-video sales business under the name 8Mr. DiBernardo first met petitioner in 1995, sometime prior to May 14, 1995, the date on which respondent received the 1993 joint return in question.Page: Previous 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 Next
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