- 17 - petitioners failed to give Jenkins accurate information for the preparation of their Federal income tax returns. On the basis of all the evidence, we conclude and hold that respondent has met his burden of proving that some portion of petitioners’ underpayment for each year in issue is attributable to fraud on the part of both Lesely and Aljournia. 4. Statute of Limitations At trial, petitioners argued that the period of limitations has run for the years at issue. Petitioners’ argument is without merit. Generally the amount of any tax must be assessed within 3 years after a return is filed. See sec. 6501(a). If the Commissioner proves that the taxpayer’s return was false or fraudulent with the intent to evade tax, however, tax may be assessed “at any time”. Sec. 6501(c)(1). We have held that respondent proved by clear and convincing evidence that petitioners’ Federal income tax returns for taxable years 1987 through 1990 were filed with the fraudulent intent to evade taxes. Accordingly, respondent is not time barred from assessing tax liability against petitioners for any of the subject years. To reflect the foregoing and respondent’s concessions, Decision will be entered under Rule 155.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Next
Last modified: May 25, 2011