-10-
1997) (“The Commissioner’s deficiency determinations and
assessments for unpaid taxes are normally entitled to a
presumption of correctness so long as they are supported by a
minimal factual foundation.”). If the Commissioner introduces
some evidence that the taxpayer received unreported income, the
burden shifts to the taxpayer to show by a preponderance of the
evidence that the deficiency was arbitrary or erroneous. See
Hardy v. Commissioner, 181 F.3d 1002, 1004 (9th Cir. 1999), affg.
T.C. Memo. 1997-97.7
We conclude that respondent has met his burden of production
as to the unreported income determined in the notice of
deficiency. Respondent introduced, and we admitted, into
evidence respondent’s computer-generated form stating that
respondent had received from Efeckta a Form W-2 reporting that it
had paid petitioner wages of $157,553 during 2002. See id. at
1005 (the Commissioner satisfied the sufficient foundation
requirement when the taxpayer’s employer reported the taxpayer’s
income to the Commissioner); Hughes v. United States, 953 F.2d
531, 540 (9th Cir. 1992) (upholding the use of official,
7 Pursuant to sec. 7491(a), the burden of proof as to
factual matters affecting liability for tax shifts to the
Commissioner under certain circumstances. Petitioner has neither
alleged that sec. 7491(a) applies nor established his compliance
with the requirements of sec. 7491(a)(2)(A) and (B) to
substantiate items, maintain records, and cooperate fully with
respondent’s reasonable requests. We conclude that sec. 7491(a)
is inapplicable to this case.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Next
Last modified: May 25, 2011