Chester H. and Michelle R. Rossman - Page 11

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          intent with respect to some part of the underpayment.  Sec.                 
          7454(a); Rule 142(b); Conti v. Commissioner, 39 F.3d 658, 664               
          (6th Cir. 1994), affg. 99 T.C. 370 (1992) and T.C. Memo. 1992-              
          616; Petzoldt v. Commissioner, 92 T.C. 661, 699 (1989); Recklitis           
          v. Commissioner, 91 T.C. 874, 909 (1988); Stone v. Commissioner,            
          56 T.C. 213, 223 (1971); Otsuki v. Commissioner, 53 T.C. 96, 105            
          (1969).                                                                     
               Respondent determined tax deficiencies on the basis of                 
          petitioner’s failure to report taxable income for each of the               
          1997 through 2000 taxable years.  Petitioner stipulated                     
          unreported gross income and deficiency amounts for 1997 through             
          2000, confirming an underpayment for each taxable year.                     
               In ascertaining whether petitioner’s failure to file was               
          fraudulent under section 6651(f), the Court considers the same              
          elements that are considered in imposing the fraud penalty under            
          section 6663 and former section 6653(b).  Clayton v.                        
          Commissioner, 102 T.C. 632, 653 (1994).  Determining the                    
          existence of fraud is a question of fact and is resolved upon               
          consideration of the entire record.  Niedringhaus v.                        
          Commissioner, 99 T.C. 202, 210 (1992).                                      
               Fraud is established by proving that the taxpayer engaged in           
          intentional wrongdoing designed to evade tax believed to be owing           
          by conduct intended to conceal, mislead, or prevent the                     
          collection of such tax.  Petzoldt v. Commissioner, supra at 698;            






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