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whether the amount of unreported income determined by respondent
is excessive.2
3. Unreported Receipts From Tax Preparation Business
Petitioner contends that he reported all of the receipts
shown on the bank records for his tax preparation business. We
disagree based on the responses to respondent’s survey.
Petitioner contends that he prepared fewer than 395 returns
for each year in issue. We disagree because petitioner’s return
preparer number appears on 700 or more returns for each year in
issue. Petitioner contends that his return preparer number
appeared on more than one income tax return for each client for a
given tax year. There is no evidence supporting petitioner’s
position. He offered in evidence a computer printout entitled
“1992 Preparer Fee Reconcilement”, which petitioner testified was
a printout of what the bank told him was money the bank deposited
in his account in 1992; about 350 2-inch by 8-inch strips of
paper entitled “Refund Anticipation Loan, 1992 Tax Year, Tax
Preparer’s Receipt” with a check number, Social Security number,
name, and address of a taxpayer on each strip; and 25 client
2 Petitioner contends that respondent bears the burden of
proof but does not state the grounds for this contention. The
examination began before July 22, 1998. Sec. 7491 applies to
court proceedings arising in connection with examinations
beginning after July 22, 1998. Internal Revenue Service
Restructuring & Reform Act of 1998, Pub. L. 105-206, sec.
3001(a), 112 Stat. 726. Thus, sec. 7491(a) does not apply, and
petitioner bears the burden of proof on all issues in this case.
Rule 142(a)(1).
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