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from arguing here that he did not willfully file a false income
tax return for each of the years in issue. We conclude that
respondent has shown by clear and convincing evidence that
petitioner filed false or fraudulent returns with the intent to
evade tax for the years at issue. Therefore, the 3-year period
of limitations under section 6501(a) does not apply to any of
petitioner’s 1990, 1991, 1992, and 1993 years, and respondent is
not barred from assessing any deficiencies in petitioner’s taxes
for those years.
II. Burden of Proof6
Respondent’s determinations in the notice of deficiency are
presumed correct, and petitioner bears the burden of proving that
respondent’s determinations are incorrect. See Rule 142(a); see
Welch v. Helvering, 290 U.S. 111, 115 (1933); Page v.
Commissioner, 58 F.3d 1342, 1347 (8th Cir. 1995), affg. T.C.
Memo. 1993-398. Respondent asserted adjustments in an amended
answer that were not made in the notice of deficiency.
Respondent bears the burden of proof with respect to the items of
adjustment not raised in the notice of deficiency. See Rule
142(a); see Achiro v. Commissioner, 77 T.C. 881, 889 (1981).
6Sec. 7491 does not apply to this case because the
examination of petitioner’s 1990, 1991, and 1992 returns began
before July 22, 1998. See Internal Revenue Service Restructuring
and Reform Act, Pub. L. 105-206, sec. 3001(a), 112 Stat. 726.
The audit was subsequently expanded to include petitioner’s 1993
tax year.
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