Orneal and Martha Kooyers, et al. - Page 16

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               In this case, there are multiple factual issues relevant to            
          determining petitioners’ tax liability.  Petitioners have not               
          addressed or provided any evidence concerning $61 of interest               
          income or substantiated expenses claimed by the OMK trusts.                 
          Consequently, section 7491(a)(2) does not place on respondent the           
          burden of proving those factual issues.  The resolution of the              
          remaining issues does not depend on which party has the burden of           
          proof.  We resolve those issues on the preponderance of the                 
          evidence in the record.                                                     
          I.   Income of the OMK Trusts Is Taxable to Petitioners                     
               Respondent determined that the OMK trusts should be                    
          disregarded for Federal income tax purposes and the income                  
          reported by the trusts taxed to petitioners.                                
               Courts have consistently invalidated similar trusts for                
          Federal income tax purposes.  Those courts that have been faced             
          with the issue have been uniform in their determinations that               
          those entities will not allow a taxpayer to shift the incidence             
          of taxation away from himself to the trust.  We cite only a few             
          of the many cases so holding.  See, e.g., Zmuda v. Commissioner,            
          731 F.2d 1417 (9th Cir. 1984), affg. 79 T.C. 714 (1982); Holman             
          v. United States, 728 F.2d 462 (10th Cir. 1984); O’Donnell v.               
          Commissioner, 726 F.2d 679 (11th Cir. 1984); Hanson v.                      
          Commissioner, 696 F.2d 1232 (9th Cir. 1983), affg. T.C. Memo.               
          1981-675; Schulz v. Commissioner, 686 F.2d 490 (7th Cir. 1982),             






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