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a charge-back between Mr. Ihry and petitioner. The record does
not show that petitioner in fact received the commissions for
1990 and 1991 beyond the $10,038 paid as part of the purchase
price. On the basis of the record before us, we conclude that
respondent has not met his burden of showing that the insurance
commissions of $12,881.70 in 1990 and $3,141.95 in 1991 were
income to petitioner.
B. Repossession of Lone Tree Manor
Capital gain of $22,028 was reported on WFIC’s 1990
corporate return as gain from the repossession of Lone Tree
Manor. Respondent argues that petitioner, not WFIC, should
recognize capital gain of $20,244 from the repossession.
Petitioner does not explain how the amount of capital gain
($22,028) was reached for the purpose of WFIC’s return, and we
afford respondent’s determinations a presumption of correctness.
See Rule 142(a). Petitioner contends that he bought Lone Tree
Manor in 1987 in his own name for the assumption of a mortgage on
the property held by IRET. He also claims that in 1989 he
transferred Lone Tree Manor to WFIC in exchange for WFIC’s
assumption of the debt and other consideration. Petitioner did
present an alleged purchase agreement evidencing the transfer of
Lone Tree Manor to WFIC, but the copy entered into evidence does
not show the date on which it was signed or the date the purchase
was effective. It is a one-page document that lists Lori as the
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