Elliot Virgil Wilkerson - Page 20

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          his alleged forfeiture of rights.  As noted above, the revised              
          Form 1040 was not processed as an amended return, and, therefore,           
          petitioner’s reporting of income tax on his revised Form 1040               
          does not constitute a reasonable basis for not reporting income             
          tax on his Form 1040.  Based on the entirety of the record, we              
          conclude that the other requirements for relief from the                    
          substantial understatement penalty have not been met.                       
          Accordingly, we hold that petitioner is liable for the accuracy-            
          related penalty under section 6662(a).10                                    
               E.  Conclusion                                                         
               Reviewed and adopted as the report of the Small Tax Case               
          Division.                                                                   
               To reflect the foregoing,                                              
                                             Respondent’s motion to conform           
                                        the pleadings to the evidence                 
                                        will be granted, and decision will            
                                        be entered under Rule 155.                    









               10  Based on our disposition of the other disputed issues,             
          we note that the sec. 6662(a) penalty may be greater than that              
          originally determined in the notice of deficiency.                          





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