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particularly persuasive in light of the fact that petitioner
trusted Ms. Jilek with all other financial aspects of Taxman,
including making her a signatory on its bank accounts and his
personal credit cards. Petitioner’s testimony on this matter is
self-serving. He does not address the $3,000 adjustments in his
posttrial briefs. Respondent has met his burden of proving that
petitioner used the $3,000 each year for personal expenses.
Therefore, we find that petitioner must include $3,000 of
compensation income for each of 1990, 1991, 1992, and 1993.
D. Head of Household for 1990
Petitioner filed his 1990 individual income tax return
claiming head of household filing status. Respondent denied this
filing status in the notice of deficiency. A taxpayer may file
as the head of a household only if he is not married or is
legally separated under a decree of divorce or separate
maintenance at the close of the taxable year, he maintains a
household which constitutes the principal place of abode of his
child for more than half the taxable year, and he furnishes over
half the cost of maintaining the household during the taxable
year. Sec. 2(b). Petitioner lived with Lori and their daughter
until June 1990. Petitioner and Lori were granted a divorce on
July 9, 1991. Petitioner did not show that he and Lori were
legally separated at the end of 1990. In addition, petitioner
did not present evidence that he provided more than half of the
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