- 16 - liability after respondent’s adjustment to the tax liability reflected on the 1994 joint return; (2) we have no reason to disbelieve petitioner’s contention that the retained 1994 return is, in fact, a retained copy of the 1994 joint return, i.e., there was nothing in petitioner’s demeanor during trial and there is nothing in the record to suggest that she would deliberately fabricate a return copy in order to slightly reduce an already modest ($185) addition to tax; (3) respondent failed to introduce into evidence either the filed 1994 joint return or a printout of his “computer records” of petitioner’s 1994 account in order to clarify the actual amount of tax shown on the 1994 joint return. That failure gives rise to the presumption that either document, if produced, would have been unfavorable to respondent. Wichita Terminal Elevator Co. v. Commissioner, 6 T.C. 1158, 1165 (1946), affd. 162 F.2d 513 (10th Cir. 1947). Because respondent is taxing petitioner on a separate return basis for 1995, “the tax shown on” the 1994 joint return for purposes of applying the section 6654(d)(1)(B)(ii) safe harbor is the portion of the $1,585 joint tax liability for 1994 that results from multiplying $1,585 by the ratio of what would have been petitioner’s separate return tax liability for 1994 to what would have been petitioner’s and Mr. Quarterman’s combinedPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Next
Last modified: May 25, 2011