Anna E. Charlton - Page 6




                                        - 6 -                                         
          information; and (3) has failed to work with respondent's counsel           
          to prepare this case for trial.                                             
               In her petition, petitioner does not dispute receipt of the            
          income determined but instead alleges that the deficiency is                
          attributable to respondent's failure to account for petitioner's            
          bases in connection with certain sales of stock.  Petitioner,               
          however, bears the burden of proof with respect to her averments            
          of basis.  See Waterman v. Commissioner, T.C. Memo. 1990-497.3              
          Petitioner has been afforded a reasonable opportunity--indeed,              
          multiple opportunities--to offer some proof of her claimed bases            
          in these proceedings.  She has repeatedly failed to do so, and              
          the resulting default judgment is a consequence of her own                  
          making.                                                                     
               In his motion to amend, respondent concedes petitioner's               
          liability for the section 6651(a)(2) addition to tax for failure            
          to pay timely.  Consequently, the section 6651(c)(1) limitation             
          no longer applies with respect to the addition to tax under                 
          section 6651(a)(1), resulting in a $689,883 increase in the                 
          section 6651(a)(1) addition asserted in the amended answer.                 
          Petitioner has failed to respond to respondent's motion to amend,           
          and in any event, we conclude that petitioner will not be                   
          prejudiced if leave is granted because the amendment represents a           

               3 Petitioner has not claimed, nor shown entitlement to, any            
          shift in the burden of proof to respondent pursuant to sec.                 
          7491(a).                                                                    






Page:  Previous  1  2  3  4  5  6  7  8  9  10  Next 

Last modified: November 10, 2007