- 16 - Petitioners argue that Omega was financially unable to make changes to its farming methods and that property liens kept them from obtaining loans to improve the farm and its profitability. Petitioners’ argument does not ring true. Omega’s net income, after accounting for farming losses was $217,787, $483,949, and $660,375 for 1993, 1994, and 1995, respectively. Therefore, Omega was capable of acquiring livestock, providing irrigation for the almond orchard, and/or purchasing new trees to replace unproductive ones. Omega’s profitable business activity was hauling and recycling rubbish, and petitioner admits that he had little experience with farming. He argues, however, that his consultations with experts demonstrate petitioners’ ongoing effort to bring Omega’s farming activity into profitability. Petitioners did present evidence that advice was sought and received concerning increasing herd sizes and replacing trees in or expanding the orchard. Petitioner also attended a 1-day olive growers convention and sought other related advice regarding Omega’s farm operation. Finally, petitioner met with the accountant to discuss the financial statements and the high expenses and paucity of income. In spite of the advice sought and/or received, nothing was done to change the farming activity of Omega. Although petitioner testified that he spent extensive time engaged in Omega’s farming activity, there is little in thePage: Previous 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Next
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