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seller and WFIC as the buyer. It is signed on behalf of WFIC by
petitioner’s sister, Janeen Conrad. Petitioner did not produce
any accompanying documents, such as the title to the property,
the IRET mortgage, the canceled note to petitioner, or any Forms
1099 showing interest paid on the IRET mortgage. The record does
not show that petitioner transferred title to Lone Tree Manor to
Lori (for sale to WFIC) or WFIC. We do not believe that
petitioner has met his burden of proving that WFIC owned Lone
Tree Manor at any time. We conclude that capital gain of $20,244
from the repossession of Lone Tree Manor was income to petitioner
for 1990.
C. Other Income
Respondent argues that petitioner received multiple items of
unreported income in each year at issue. Petitioner argues that
he is not liable for income tax on the unreported items for
various reasons. Petitioner bears the burden of proving that the
items listed in the notice of deficiency are not taxable to him.
Respondent bears the burden of showing that petitioner received
$3,000 from Taxman in each of 1990, 1991, 1992, and 1993.
1. Unreported Income in 1990
Respondent adjusted petitioner’s 1990 income to include
Taxman’s $6,000 payment of the settlement judgment against
petitioner in connection with his clients’ tax shelter
investments. Petitioner argues that Taxman assumed the
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