-4-
At calendar call, petitioner did not appear, but the Court had
before it and granted petitioner’s motion for a trial time and
date certain. At trial, petitioner did not personally appear but
was represented by counsel. Petitioner’s counsel did not
introduce any evidence on petitioner’s behalf at trial and failed
to file a posttrial brief following the trial.
OPINION
1. Unreported Income
As a general rule, the Commissioner’s determinations set
forth in a notice of deficiency are presumed correct, and the
taxpayer bears the burden of showing that these determinations
are in error. Rule 142(a); Welch v. Helvering, 290 U.S. 111, 115
(1933).3 In order for the presumption of correctness to attach
to the deficiency determination in unreported income cases, the
Commissioner must establish “some evidentiary foundation”
connecting the taxpayer with the income-producing activity,
Weimerskirch v. Commissioner, 596 F.2d 358, 361-362 (9th Cir.
1979), revg. 67 T.C. 672 (1977), or demonstrate that the taxpayer
received unreported income, Edwards v. Commissioner, 680 F.2d
1268, 1270 (9th Cir. 1982) (Commissioner’s assertion of a
3 Pursuant to sec. 7491(a), the burden of proof as to
factual matters shifts to respondent under certain circumstances.
Petitioner has neither alleged that sec. 7491 applies nor
established her compliance with the requirements of sec.
7491(a)(2)(A) and (B) to substantiate items, maintain records,
and cooperate fully with respondent’s reasonable requests.
Petitioner therefore bears the burden of proof.
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