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matters reported in those returns and checklists. Instead, Mr.
Rippeon relied on representations and documents that Mr. Ramsburg
and/or Mr. Stottlemeyer provided to him. We shall not rely on
Mr. Rippeon’s testimony about any of the underlying facts with
respect to the matters reported in the returns and checklists in
question to establish petitioners’ position in this case.
Documentary Evidence
The record contains various documents on which petitioners
rely that were prepared, and/or that contained information
supplied, by Mr. Ramsburg and/or Mr. Stottlemeyer.22 We shall
not rely on such documents to establish petitioners’ position in
this case.
Section 469(g)(1)
We must decide whether section 469(g)(1)23 permits petition-
22The documents on which petitioners rely included certain
tax returns of petitioners and Kildare Timmy, respectively. A
tax return is merely a statement of the claim of the person
filing such return and does not establish the truth of the
matters set forth therein. See, e.g., Wilkinson v. Commissioner,
71 T.C. 633, 639 (1979).
23Sec. 469(g)(1) provides in pertinent part:
SEC. 469. PASSIVE ACTIVITY LOSSES AND CREDITS LIMITED.
* * * * * * *
(g) Dispositions of Entire Interest in Passive
Activity.--If during the taxable year a taxpayer dis-
poses of his entire interest in any passive activity
(or former passive activity), the following rules shall
apply:
(continued...)
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