- 7 - Although petitioner was paid by cash without a receipt, and could not produce documentation to support his testimony, we nonetheless find his testimony as to the maximum number of days and hours worked to be truthful and accurate. If the Form 1099-MISC provided to respondent by Mr. McMickle were to be believed, which reported $3,497 of nonemployee compensation, petitioner would have then worked approximately 280 hours during the period at issue. If true, this would mean that petitioner worked 40 hours a week for 7 weeks. We calculate that based on petitioner’s credible testimony, that he could have worked no more than 140 hours for Mr. McMickle (35 hours multiplied by 4 weeks). We also believe that petitioner took 1 week off for Thanksgiving and Christmas each, resulting in a 4- week period of work in 2003. We find that petitioner worked no more than a 35-hour week with Mr. McMickle for 4 weeks for a total of 140 hours, earning a total of no more than $1,750 (140 hours multiplied by the rate of $12.50 per hour). Respondent did not call Mr. McMickle as a witness in order to rebut any of petitioner’s testimony. On all of the facts presented, petitioner has persuaded us that respondent’s determination based on the information provided by Mr. McMickle is erroneous. Accordingly, we conclude that petitioner failed to report compensation received from Mr. McMickle in the amount of $1,750 for taxable year 2003.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 Next
Last modified: May 25, 2011