- 3 - Expenses were separated into columns for rent, utilities, and suppliers. Personal expenses were logged by petitioner in the ledger as a draw. In 1994, Paradise hired a bookkeeper, Mary A. Hogland, to prepare financial statements and to prepare the joint Federal return of petitioner and S. Trent. Petitioner and S. Trent timely filed a joint Federal income tax return for 1994, claiming a refund of $896. During 1994, Paradise was the sole source of income for petitioner’s family. Paradise’s income and expenses were reported on Schedule C, Profit or Loss From Business, to petitioner’s and S. Trent’s Form 1040. In 1995, petitioner and S. Trent experienced marital difficulties. In response to incidents on November 23 and November 25, 1995, petitioner filed a petition to order S. Trent to appear for a hearing on domestic abuse with the Second Judicial District Court for Bernalillo County in New Mexico. Petitioner also filed a Petition for Order Prohibiting Domestic Violence on November 27, 1995. On November 13, 1996, a divorce decree was entered by the court. In the divorce decree, S. Trent received control of Paradise and retained all of the business- related material and assets. Pursuant to the divorce decree, S. Trent assumed all business liabilities including any future taxes or debts associated with Paradise.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 Next
Last modified: May 25, 2011