- 2 - Respondent determined a $3,674 deficiency in petitioner’s 2002 Federal income tax. After a concession by respondent,1 the issues for decision are: (1) Whether petitioner was a partner in Physical Therapist Search International, Ltd. Limited Partnership (PTSI or the partnership); (2) if he was a partner in PTSI, whether petitioner must report a distributive share of PTSI’s income; (3) whether petitioner is entitled to a theft loss deduction under section 165(e) relating to certain actions taken by PTSI’s general partner; and (4) whether respondent is estopped from asserting a deficiency against petitioner. Some of the facts have been stipulated, and they are so found. The stipulation of facts and attached exhibits are incorporated herein by this reference. Petitioner resided in Playa Del Rey, California, when his petition was filed. For convenience, we combine our findings and discussion herein. Burden of Proof Pursuant to section 7491(a), the burden of proof as to factual matters shifts to respondent under certain circumstances. See also Rule 142. Petitioner has neither alleged that section 7491(a) applies nor established his compliance with the requirements of section 7491(a)(2)(A) and (B) to substantiate 1 Respondent concedes that petitioner is not liable for self-employment tax of $1,194. The adjustments in respondent’s notice of deficiency not addressed in this opinion are computational.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011