- 6 - examination for purposes of establishing the date on which the Commissioner started his examination as to the affected items at issue. According to respondent, the affected items were determined “in connection with” the examination of TBS 90-1 and, hence, the date on which that examination began is the date that is used to test whether section 7491(c) applies to this case. According to petitioner, the Commissioner’s determination of the affected items resulted from a separate, nonpartnership-level examination of petitioners personally and, hence, the starting date of the later examination is the date to be used to determine the applicability of section 7491(c). Notwithstanding which party bears the burden of production in this case, our review of the record leads us to the same conclusion; i.e., that petitioners are liable for the section 6662(h) accuracy-related penalty for 1992 as determined by respondent. Accordingly, we need not and do not discuss any further the parties’ dispute as to which of them bears the burden of production in this case. See McDonough v. Commissioner, T.C. Memo. 2007-101. 2. Overview of Sections 6662(h) and 6664 Section 6662(h) provides that a taxpayer may be liable for a 40-percent penalty on any portion of an underpayment of tax attributable to gross valuation misstatements. No penalty is imposed under that section, however, unless the portion exceedsPage: Previous 1 2 3 4 5 6 7 8 9 10 11 NextLast modified: November 10, 2007