- 4 - petitioner a notice of deficiency on March 7, 2005. Petitioner petitioned this Court. Discussion As a general rule, the Commissioner’s determinations in the notice of deficiency are presumed correct and the burden of proving an error is on the taxpayer. Rule 142(a); Welch v. Helvering, 290 U.S. 111, 115 (1933). If a taxpayer introduces credible evidence with respect to a factual issue, then the burden of proof shifts to the Commissioner with respect to that issue. Sec. 7491(a)(1). Credible evidence means evidence that a court would find sufficient to base a decision upon if no contrary evidence were submitted and does not include implausible factual assertions or frivolous claims. The evidence must be worthy of the Court’s belief. Higbee v. Commissioner, 116 T.C. 438, 442 (2001). The burden of proof does not shift to the Commissioner if the taxpayer fails to comply with the substantiation and record- keeping requirements of the Internal Revenue Code. Sec. 7491(a)(2)(A) and (B). In the instant case, the only evidence petitioner offered to support his claim that he had custody of I.T.D.S. for over half of 2003 was his own vague, implausible, uncorroborated testimony. Furthermore, petitioner did not produce any documents, receipts, or witnesses substantiating the amounts he allegedly paid toPage: Previous 1 2 3 4 5 6 7 Next
Last modified: May 25, 2011