Jeffrey H. Weitzman - Page 14




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          maximum value of $50,000 each.  Petitioner, nevertheless,                   
          contends that he was reasonable in claiming deductions and                  
          credits with respect to the partnership on his 1982 Federal                 
          income tax return based upon each recycler's having a value of              
          $1,162,667.  To support this contention petitioner argues that he           
          discussed the investment with his advisers and reviewed the                 
          offering memorandum.  He alleges that his investigatory actions             
          were commensurate with the size of his investment.                          
               Under some circumstances a taxpayer may avoid liability for            
          the additions to tax under section 6653(a)(1) and (2) if                    
          reasonable reliance on a competent professional adviser is shown.           
          United States v. Boyle, 469 U.S. 241, 250-251 (1985); Freytag v.            
          Commissioner, 89 T.C. 849, 888 (1987), affd. 904 F.2d 1011 (5th             
          Cir. 1990), affd. 501 U.S. 868 (1991).  Reliance on professional            
          advice, standing alone, is not an absolute defense to negligence,           
          but rather a factor to be considered.  Freytag v. Commissioner,             
          supra.  In order for reliance on professional advice to excuse a            
          taxpayer from negligence, the taxpayer must show that the                   
          professional had the requisite expertise, as well as knowledge of           
          the pertinent facts, to provide informed advice on the subject              
          matter.  David v. Commissioner, 43 F.3d 788, 789-790 (2d Cir.               
          1995), affg. T.C. Memo. 1993-621; Goldman v. Commissioner, supra;           
          Freytag v. Commissioner, supra.                                             








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