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In petitioner’s previous cases the Court specifically
rejected as meritless petitioner’s argument that taxable income
does not include an exchange of personal services for property.
The Court shall not further address petitioner’s repeated
argument “with somber reasoning and copious citation of
precedent; to do so might suggest that these arguments have some
colorable merit.” Crain v. Commissioner, 737 F.2d 1417, 1417
(5th Cir. 1984). Therefore, the Court sustains respondent’s
determination of petitioner’s 2002 tax deficiency.
II. Additions to Tax
The Commissioner bears the burden of production in any court
proceeding with respect to an individual’s liability for
penalties or additions to tax. Sec. 7491(c). To meet this
burden, the Commissioner must present “sufficient evidence
indicating that it is appropriate to impose the relevant penalty”
or addition to tax. Higbee v. Commissioner, 116 T.C. 438, 446
(2001). In instances where an exception to the penalty or
addition to tax is afforded upon a showing of substantial
authority, reasonable cause, or similar provisions, the taxpayer
bears the burden of raising and prevailing on these issues. Id.
at 446-447.
Section 6651(a)(1) imposes a 5-percent addition to tax for
each month or portion thereof a required return is filed after
the prescribed due date, not to exceed 25 percent in the
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