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serving testimony he produced no evidence indicating Kumiko
Talmage was the sole owner. The fact that petitioner failed to
report the income earned or claim losses incurred from leasing the
property does not prove lack of ownership.
For the foregoing reasons, the Court finds that petitioner
owned a 50-percent interest in the Vancouver property.
Accordingly, petitioner was required to report $15,616 of long-
term capital gain upon the sale of the property in 1998. Blair v.
Commissioner, 300 U.S. 5, 12-14 (1937) (Federal income tax
liability follows ownership); Salvatore v. Commissioner, T.C.
Memo. 1970-30, affd. 434 F.2d 600 (2d Cir. 1970).
C. Black Butte Property
Petitioner also contends he was required to report only
$60,303 of the $120,606 gain from the sale of the Black Butte
property in 1998 because he owned only 50 percent of the property.
As with the Vancouver property, the Court finds that
petitioner owned a 50-percent interest in the Black Butte
property. Therefore, he recognized $60,303 upon the sale of the
property in 1998.
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