Jean I. Tedford - Page 5

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               Border paid officer’s compensation to Mr. Tedford and                  
          petitioner during many of its fiscal years ending August 31,                
          1979, to August 31, 1993.  The amount of officer’s compensation             
          that Mr. Tedford and petitioner received varied greatly in the              
          years it was paid.                                                          
               Mr. Tedford and petitioner’s daughter, Deborah Williams (Ms.           
          Williams), was also employed by Border.  Ms. Williams started               
          taking care of general office duties and payroll for Border in              
          1988.  Over time Ms. Williams took on more duties, including                
          assisting Mr. Tedford with personal activities.  In 1994, Ms.               
          Williams became Border’s office manager and Mr. Tedford’s                   
          personal assistant.  As office manager, Ms. Williams was in                 
          charge of billing and collection, keeping track of Border’s bank            
          account, and keeping track of the monetary transfers Mr. Tedford            
          made to Border.                                                             
               James D. Edge (Mr. Edge) became Mr. Tedford and petitioner’s           
          C.P.A. in 1993 and became Border’s C.P.A. in 1994.  Mr. Edge                
          prepared Border’s Federal income tax returns for fiscal years               
          1994-97.  He also prepared petitioner’s Federal income tax                  
          returns for 1993-2000.  Before Mr. Edge’s involvement, another              
          C.P.A. assisted Mr. Tedford, petitioner, and Border with tax and            
          accounting matters.  Mr. Edge is not a certified appraiser or an            
          appraisal expert.                                                           







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Last modified: May 25, 2011