9
administrative file, petitioner did not file a return for 1995.
Thus, respondent has met the burden of production (if applicable)
relating to petitioner's liability for the addition to tax for
failure to timely file.
Petitioner testified and contends that he filed his 1995
income tax return and that Exhibit 7-P is an unsigned copy of
that return. He contends that he would not have paid $1,375 to
have a return prepared, but not file it. He further points out
that Brown testified that it is possible that respondent could
lose a return.
Petitioner answered “yes” when he was asked on direct
examination if he had filed a 1995 return. He provided no other
details about filing his 1995 return. He did not recall when he
filed the return. Exhibit 7-P states that petitioner owed $615
in tax. Petitioner testified that he believed that he had paid
the $615, but he offered no documentary evidence (e.g., a
canceled check) showing that he had. As discussed above in
paragraphs A-2 and A-3, petitioner’s testimony that he bought in
1988 and sold in 1995 only intangible nondepreciable rights was
not credible. Similarly, petitioner’s testimony that he filed a
1995 return is unconvincing.
Nunez prepared a joint 1995 return for petitioner and his
spouse, but respondent did not receive it. We conclude that
petitioner and his spouse did not file it. Petitioner bears the
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