Bennett Geiger - Page 10

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          taxpayer complied with all substantiation requirements,                     
          maintained all required records, and cooperated with reasonable             
          requests by the Service “for witnesses, information, documents,             
          meetings, and interviews”.  Sec. 7491(a)(2); Higbee v.                      
          Commissioner, 116 T.C. 438, 440-441 (2001).  Section 7491(c)                
          provides that the Commissioner shall have the burden of                     
          production with respect to any penalty.  See also Higbee v.                 
          Commissioner, supra at 446-447.                                             
               A taxpayer who provides only self-serving testimony and                
          inconclusive documentation is not considered to have provided               
          credible evidence.  See Blodgett v. Commissioner, 394 F.3d 1030             
          (8th Cir. 2005) affg., T.C. Memo. 2003-212; Higbee v.                       
          Commissioner, supra at 445-446.                                             
               Credible evidence is evidence that, “after critical                    
          analysis, the Court would find sufficient upon which to base a              
          decision on the issue if no contrary evidence were submitted”.              
          Higbee v. Commissioner, supra at 442 (citing H. Conf. Rept. 105-            
          599, at 240-241 (1998), 1998-3 C.B. 747, 994-995).  Evidence is             
          not credible if the Court is not convinced that it is worthy of             
          belief.  Id.                                                                
               On the basis of the record before us, we conclude that                 
          petitioner did not introduce credible evidence with respect to              
          the factual issues presented under section 165.  Petitioner                 
          provided only incomplete and inconclusive documentation, along              

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