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$2,600, respondent allowed another $1,000 based on Mr. Brown’s
explanation for reasonableness. Mr. Brown testified that the
unsubstantiated $2,600 was merely an “estimate based on my
experience” and did not introduce anything further regarding the
remaining $1,600. We sustain respondent’s disallowance of the
deduction for the remaining, unsubstantiated charitable
contributions.
C. Addition to Tax Under Section 6651(a)(1)
Petitioners’ 1998 return was due August 15, 1999, as
extended, but it was not filed until January 25, 2001.7 Section
6651(a) imposes an addition to tax for failing to file a timely
income tax return, determined with regard to any extensions,
unless such failure to file is due to reasonable cause and not
due to willful neglect. Sec. 6651(a)(1). The question whether
failure to timely file is due to reasonable cause and not willful
neglect is one of fact, and the taxpayer bears the burden of
proof. See sec. 6651(a)(1); Rule 142(a); United States v. Boyle,
469 U.S. 241, 245 (1985). A taxpayer’s failure to file is due to
reasonable cause if he or she exercised ordinary business care
and prudence and was nevertheless unable to file the return
within the time prescribed by law. Sec. 301.6651-1(c)(1),
Proced. & Admin. Regs.
7 The parties have stipulated that the return was filed
on this date; therefore respondent has met his burden of
production under sec. 7491(c) regarding the addition to tax.
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