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used to pay off * * * [Christopher and Brenda’s] first mortgage
on * * * [the warehouse].”
Christopher has the burden of proving how much money he
transferred to Cox Tomato out of the proceeds of loan 91850.
Rule 142(a). Citing a lack of documentation in the record,
respondent asserts that Christopher has not met his burden.
While it is true that the record in this case is lacking in
documentation that would have made our analysis of this issue
easier and more satisfying, Christopher nevertheless has
convinced us that he transferred approximately $148,000 of the
loan proceeds to Cox Tomato in 1993. Christopher testified to
that effect and also offered an explanation regarding why
documentation of what transpired in 1993 is not available.9 We
accept Christopher’s testimony on these subjects as credible.
After evaluating the evidence, we find that Christopher
transferred $148,000 of the $220,000 loan proceeds to Cox Tomato
in 1993, and we hold that Christopher is entitled to increase his
adjusted basis in Cox Tomato by a corresponding amount.
B. Loan 92107 for $70,000
Petitioner shareholders also contend that they were entitled
to increase their bases in Cox Tomato in an aggregate amount of
9Christopher testified that he tried to find his records for
1993 and 1994 but was not able to do so. He also tried to get
records from UMB Bank (formerly the Oklahoma Bank), but the bank
did not retain records for more than 5 years.
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