- 8 - cash or paid her various expenses.4 Petitioners did not maintain any receipts or other documentary evidence with respect to the amounts paid to, or on behalf of, their daughter. I. Federal Income Tax Returns A. Petitioners’ Individual Tax Returns Some time prior to the end of 1993, petitioners sent to the Internal Revenue Service (IRS) a joint Form 1040, U.S. Individual Income Tax Return, for 1992. That document had “Estimated” written on the top of the first page (1992 “Estimated” return). Petitioners testified that they prepared and sent the 1992 “Estimated” return in that manner because they were not in possession of all their supporting documents and therefore were not able to determine the exact amounts to be reported on the return. On or about August 12, 1994, petitioners sent to the IRS an unsigned Form 1040 for the 1993 taxable year. Petitioners had written “Estimated” on the top of the first page of the unsigned 1993 return (1993 “Estimated” return). The 1993 “Estimated” return did not have any attached schedules or forms. Petitioners claimed that they were unable to file a final tax return for either 1992 or 1993 prior to the end of 1994 due to time restraints from their various work responsibilities, 4 For example, on their 1994 return, petitioners deducted $17,874 for payments made to, or on behalf of, their daughter.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 NextLast modified: November 10, 2007