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that the determinations are in error. Rule 142(a); Welch v.
Helvering, 290 U.S. 111, 115 (1933). However, pursuant to
section 7491(a)(1), the burden of proof on factual issues that
affect the taxpayer’s tax liability may be shifted to the
Commissioner where the “taxpayer introduces credible evidence
with respect to * * * such issue”. The burden will shift only if
the taxpayer has complied with the substantiation requirements
and the taxpayer “has cooperated with reasonable requests by the
Secretary for witnesses, information, documents, meetings, and
interviews”. Sec. 7491(a)(2). Petitioner has not alleged or
proven that section 7491(a) applies. Accordingly, the burden
remains on petitioner.
1. Dependency Exemption Deduction
Section 151(c), in pertinent part, allows a taxpayer to
claim as a deduction the exemption amount for each individual who
is a “dependent” of the taxpayer as defined in section 152 and
who is the taxpayer’s child and satisfies certain age
requirements.
Section 152(a) defines “dependent”, in pertinent part, to
include a “son or daughter of the taxpayer” over half of whose
support for the calendar year in which the taxable year of the
taxpayer begins was received from the taxpayer or is treated under
section 152(c) or (e) as received from the taxpayer.
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Last modified: November 10, 2007