- 11 - provide any tax benefit to petitioner as a result of the applicability of section 67(a). Respondent is sustained in the disallowance of all the other deductions, since petitioner presented no substantiating evidence to support the expenses deducted.2 Reviewed and adopted as the report of the Small Tax Case Division. Decision will be entered under Rule 155. 2 Sec. 7491, under certain circumstances, places the burden of production on the Secretary with respect to a taxpayer's liability for taxes, penalties, and additions to tax in court proceedings arising in connection with examinations commencing after July 22, 1998. The record is unclear as to whether the examination of petitioner's returns commenced before or after July 22, 1998. Nevertheless, the burden of proof did not shift to respondent because petitioner did not provide substantiation and credible evidence in connection therewith. Higbee v. Commissioner, 116 T.C. 438 (2001).Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12
Last modified: May 25, 2011