Michael O'Keefe Sowell - Page 11

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               Moreover, respondent investigated petitioner’s denial of               
          having gambled at Gulf Greyhound Park at the first available                
          opportunity, and the results of respondent’s investigation were             
          sufficient to convince respondent to concede the case.  Twice,              
          respondent made an offer of full concession to petitioner.                  
          Twice, petitioner refused.  The Court understands petitioner’s              
          frustration in having to endure the investigation and proceedings           
          and expend effort and resources to resolve it.  However,                    
          respondent did his part to clear up the matter.  Although                   
          respondent ultimately determined that the evidence was                      
          insufficient to establish that petitioner received the gambling             
          income at issue, respondent is allowed reasonable time to                   
          receive, analyze, and act upon documentation that proves                    
          petitioner’s contentions before he is obligated to concede the              
          case.  Gealer v. Commissioner, T.C. Memo. 2001-180.  The Court              
          also notes that petitioner ignored the notification originally              
          sent to him by respondent prior to the issuance of the notice of            
          deficiency.  Had petitioner responded earlier, the entire matter            
          could have been disposed of without the issuance of a notice of             
          deficiency and subsequent court proceeding.  See Corkrey v.                 
          Commissioner, 115 T.C. 366, 375 (2000).                                     
               Respondent’s actions in this case fall within the boundaries           
          of what is reasonable.  Respondent has shown that his position              

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