- 7 - During the evidentiary hearing in this case, petitioner offered to the Court a document purportedly reflecting Cypress Management’s resignation as trustee for Fennel Trust, as well as a document purportedly reflecting Cypress Management’s resignation as trustee for Tarragon Trust. Considering that these documents were undated, as well as other discrepancies in the record, the documents were not admitted into evidence.8 On April 30, 1994, Fennel and S&T Management purportedly executed a document entitled “INDEPENDENT COMMON-LAW CONTRACTOR CONTRACT”, in which S&T Management and Fennel were identified as contractor and client, respectively. Fennel did not file a U.S. Fiduciary Income Tax Return, Form 1041, for 1995 and 1996.9 However, for those years, Fennel received a Schedule K-1, Beneficiary’s Share of Income, Deductions, Credits, etc., from BHC Trust, another “business trust organization” whose purported trust instrument was the work of Zola Sheehan. The Schedule K-1 for 1996 reflects a loss in the amount of $2,180. Paul and Rosaria Jablonski attached this Schedule K-1 to their Federal income tax return for 1996 and used 8 The document offered with respect to Tarragon Trust differed in material respects (including signatories and typeface) from another document that Tarragon Trust had offered to reflect Cypress Management’s resignation as trustee. 9 Indeed, Fennel did not file an income tax return from its inception through 1999.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 Next
Last modified: May 25, 2011