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advice of a competent and experienced accountant or attorney in
the preparation of the tax return. Weis v. Commissioner, 94 T.C.
473, 487 (1990); Griffin v. Commissioner, T.C. Memo. 2001-5. In
order to show good faith reliance, the taxpayer must establish
that all necessary information was supplied to the return
preparer and that the incorrect return resulted from the
preparer’s mistakes. Weis v. Commissioner, supra at 487; Pessin
v. Commissioner, 59 T.C. 473, 489 (1972).
Mr. Feldmann prepared BBP’s 1994 return and Russell and
Clarice’s 1994 and 1995 returns. In preparing the returns, Mr.
Feldmann relied on information provided to him by Russell and his
family and Melvin’s family. With respect to the oil and gas
activity conducted by BBP, Mr. Feldmann testified that he relied
on Forms 1099-MISC, Miscellaneous Income, issued by oil
purchasers in determining income and information provided by
Carolyn in determining expenses. At trial, Russell testified
that he did not know anything about the information regarding the
oil and gas interests which were reported on his and Clarice’s
1994 and 1995 returns because this information was provided to
Mr. Feldmann by other persons.
With respect to the Schedule E and Schedule C depletion
deductions for 1994 and 1995, Mr. Feldmann testified that he
erroneously computed the amounts of these deductions and that the
errors were not a result of any action by Russell. Mr. Feldmann
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