- 3 - On July 31, 2001, respondent issued to petitioner a notice with respect to his taxable year 1993. In that notice, respon- dent determined, inter alia, that petitioner is liable for the year at issue for additions to tax under sections 6651(a)(1) and 6654. OPINION Respondent claims that section 7491 does not apply in the instant case because the examination of petitioner’s case began prior to July 22, 1998. The record does not establish when respondent’s examination of petitioner’s taxable year 1993 began. Assuming arguendo that that examination began after July 22, 1998, we find that petitioner’s burden of proof relating to the deficiency determination does not shift to respondent under section 7491(a). That is because petitioner has not complied with the substantiation and record-keeping requirements of section 7491(a)(2)(A) and (B). Accordingly, assuming arguendo that respondent’s examination of the year at issue began after July 22, 1998, we find that petitioner has the burden of proving that respondent’s deficiency determination is wrong. Rule 142(a); Welch v. Helvering, 290 U.S. 111, 115 (1933). With respect to any deductions that petitioner is claiming for the year at issue for charitable contributions, deductions are strictly a matter of legislative grace, and petitioner bears the burden of proving that he is entitled to any such deductionsPage: Previous 1 2 3 4 5 6 Next
Last modified: May 25, 2011