John R. Hernandez - Page 8




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               In Hernandez I, this Court’s comments about similar                    
          circumstances were as follows:                                              
                    With respect to amounts of interest received from                 
               the redemption of certificates held in his or Mrs.                     
               Hernandez’ name and those of Vincent or Mildred                        
               Hernandez, respectively, petitioner produced no                        
               evidence that such amounts were not his income other                   
               than a document signed in 1984 by Vincent and Mildred                  
               Hernandez purporting to give petitioner a power of                     
               attorney.  Neither Vincent nor Mildred Hernandez                       
               testified at trial.  With respect to the remaining                     
               persons whose names appeared on the tax certificates as                
               alternate payees, petitioner produced no evidence at                   
               all.                                                                   
                    Unlike the taxpayer in the “Mexican Lottery Case”,                
               Diaz v. Commissioner, 58 T.C. 560, 565 (1972), whose                   
               grandmother, “face-to-face with her priest in the                      
               courtroom”, corroborated every word of his testimony                   
               that the lottery tickets in question belonged to his                   
               uncle, petitioner failed to bring a single witness,                    
               neither brother, daughter, nor friend, to the courtroom                
               to corroborate his story that he was holding these                     
               funds for them.  In failing to do so, petitioner did                   
               not carry his burden of proving that these funds                       
               belonged to other taxpayers. * * *                                     
          Here the record does not include any purported power of attorney.           
          Instead, petitioner presented a letter from Vincent Hernandez,              
          his brother, claiming that the certificates purchased in                    
          Vincent’s name after 1985 were purchased for him.  As in                    
          Hernandez I, Vincent Hernandez did not appear to testify about              
          the letter, and there is no evidence that any of the income in              
          issue was reported on a tax return by Vincent Hernandez or any of           
          the other copayees.                                                         
               There is no question that the income here in issue is                  
          interest income and therefore is includable in gross income under           






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