- 27 - 1065 and completely omitting Speck’s address on the Form 1065, Schedule K-1 attached to National Land Bank’s 2000 Form 1065 in the context of this case appears to the Court to be deliberately deceptive and does not, given Mr. McGlothlin’s testimony, establish two different taxable entities. b. Krismon Buttes’s $70,000 Check Is Taxable to Petitioner Petitioner did not provide any evidence demonstrating an independence from or a dissociation with Speck or Property Resources. Speck issued Krismon Buttes an invoice in the amount of $70,000 for marketing services rendered. Krismon Buttes issued Speck check No. 1023, which never cleared Krismon Buttes’s checking account. Subsequently, Krismon Buttes issued check No. 1027 in the amount of $70,000 to Property Resources as a replacement for check No. 1023. The Court is skeptical that Speck would provide marketing services worth $70,000 to Krismon Buttes but, absent a quid pro quo, allow Krismon Buttes to deliver payment to Property Resources. Petitioner fails to explain this. Instead, at trial, petitioner asserted a Fifth Amendment privilege when asked whether she was compensated for marketing services she provided to Krismon Buttes. This is an indication that any facts which could have been presented by her at trial would have been unfavorable to her position. Petzoldt v. Commissioner, 92 T.C. 661, 691 (1989)Page: Previous 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 Next
Last modified: May 25, 2011