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we need to discuss the validity of section 1.448-1T(e)(4),
Temporary Income Tax Regs., supra. Assuming arguendo that
petitioner’s classification of services is correct, and that for
a corporation to be a qualified personal service corporation,
substantially all of its activities must involve the performance
of services in only one of the qualifying fields, conclusions we
explicitly decline to draw, petitioner would still bear the
burden of proving that less than substantially all of its
activities involved the performance of architectural services.4
See Rule 142(a); Welch v. Helvering, 290 U.S. 111, 115 (1933).
As described below, petitioner failed to meet its burden.
III. Analysis
To establish that less than substantially all of its
activities involved the performance of architectural services,
petitioner relies exclusively on monthly revenue summaries and a
2002 annual revenue summary (the revenue summaries). The revenue
summaries purport to break down revenue petitioner received by
specific types of services, with each service classified as
3(...continued)
Court. Instead, such references are used for the purpose of
clarity in demonstrating that, even if petitioner’s
classification were accepted, petitioner would still fail to meet
its burden of proof.
4 Under sec. 7491(a), the burden of proof may shift to the
Commissioner in certain situations. Petitioner does not argue
that the burden of proof shifts to respondent.
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