- 7 -
reasonable, probative, and supportive of the allegation of
additional income. Respondent satisfies the requirements of
section 6201(d).
Although respondent bore the burden of proof with respect to
the issue of unreported income, nonetheless, the ultimate burden
of persuasion, or risk of nonpersuasion, remains on petitioners.
Senter v. Commissioner, T.C. Memo. 1995-311 (citing Higginbotham
v. United States, 556 F.2d 1173, 1176 (4th Cir. 1977)).5 For the
following reasons, the Court holds that petitioners have not met
their ultimate burden of persuasion that they did not receive the
$51,470 in gross income at issue.
Gross income includes all income from whatever source
derived. Sec. 61(a). Despite the error in the running totals
columns, the available weekly statements do corroborate the
income and expense entries contained on the check summary. The
Court thus concludes that the check summary is reliable evidence
of ARL’s payments and deductions with respect to Mr. Hall.
4(...continued)
reviewed. As the Court was also not able to determine the origin
of that figure, the Court disregards the significance of the
“1099 YTD” amount as reflected on the Dec. 21 settlement
statement.
5 Because any appeal in this case, if it were
permissible, would lie to the Court of Appeals for the Fourth
Circuit, the Court follows the precedent established in that
Circuit. Golsen v. Commissioner, 54 T.C. 742, 756-757 (1970),
affd. 445 F.2d 985 (10th Cir. 1971).
Page: Previous 1 2 3 4 5 6 7 8 9 Next
Last modified: May 25, 2011