- 12 -
groceries, Mr. McClelland would sign a check with his name, and
she would fill out the amount paid.
With respect to petitioners’ 1997 return and Red Wing’s
Federal income tax return for its fiscal tax year ended October
31, 1997, Mr. McClelland kept and provided all financial records
and other information to Gary Kramer (Mr. Kramer), petitioners’
accountant. Mr. Kramer completed petitioners’ joint 1997 Federal
income tax returns for the year in issue, as well as Red Wing’s
Federal income tax return for its fiscal tax year ended October
31, 1997. Ms. McClelland did not review or sign Red Wing’s
Federal income tax return for its fiscal tax year ended October
31, 1997, the only place the incorrect interest deduction
appeared.
Ms. McClelland’s limited involvement in Red Wing’s financial
affairs included maintaining records that related to the number
of hours its employees worked and signing employee payroll
checks. Ms. McClelland provided this information to Mr. Kramer,
who used this information to calculate the withholding amounts
Red Wing needed to pay for various purposes. Mr. Kramer
instructed Ms. McClelland to write checks, each in a specific
amount for Red Wing’s withholding obligations. Ms. McClelland
wrote checks in the instructed amounts and signed Mr.
McClelland’s name.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Next
Last modified: May 25, 2011