Williams v. Commissioner

1986 T.C. Memo. 195, 51 T.C.M. 1010, 1986 Tax Ct. Memo LEXIS 411
CourtUnited States Tax Court
DecidedMay 15, 1986
DocketDocket No. 301-84.
StatusUnpublished

This text of 1986 T.C. Memo. 195 (Williams v. Commissioner) is published on Counsel Stack Legal Research, covering United States Tax Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Williams v. Commissioner, 1986 T.C. Memo. 195, 51 T.C.M. 1010, 1986 Tax Ct. Memo LEXIS 411 (tax 1986).

Opinion

GEOFFREY A. WILLIAMS, Petitioner v. COMMISSIONER OF INTERNAL REVENUE, Respondent
Williams v. Commissioner
Docket No. 301-84.
United States Tax Court
T.C. Memo 1986-195; 1986 Tax Ct. Memo LEXIS 411; 51 T.C.M. (CCH) 1010; T.C.M. (RIA) 86195;
May 15, 1986.
*411

Held: (1) P had unreported income; and (2) P failed to substantiate claimed deductions.

Geoffrey A. Williams, pro se.
James E. Polk, for the respondent.

SIMPSON

MEMORANDUM FINDINGS OF FACT AND OPINION

SIMPSON, Judge: The Commissioner determined a deficiency of $6,734.97 in the petitioner's Federal income tax for 1981. The issues for decision are: (1) Whether the petitioner understated his gross income in the amount determined by the Commissioner; and (2) whether the petitioner substantiated any of the deductions that were claimed on his income tax return and not allowed by the Commissioner.

FINDINGS OF FACT

The petitioner, Geoffrey A. Williams, maintained his residence in Dallas, Tex., at the time he filed his petition in this case. He filed a Federal income tax return for 1981 with the Internal Revenue Service.

In the notice of deficiency, the Commissioner determined that in 1981, the petitioner received income which was not reported on his income tax return of $3,213.00 from Massachusetts Indemnity Life Insurance Co. and $3,371.00 from American Bankers Life Assurance Co. Schedule C expense deductions of $11,633.00 and itemized deductions of $6,538.00 were not allowed. Finally, *412 it was determined that Mr. Williams was liable for $871.97 of self-employment tax.

During the opening statements, Mr. Williams raised the possibility that documents in his possession that might substantiate his claimed deductions were privileged under the Fourth or Fifth Amendment and that the Thirteenth Amendment might provide him with further protection. The petitioner was not under any criminal investigation, and the Court advised him that the privileges he sought to invoke were not applicable. Additionally, the Court clearly stated that his refusal to produce such documents would result in the Commissioner's determination being sustained. Mr. Williams refused to produce any documentation.

OPINION

The first issue to be decided is whether the petitioner understated his gross income in the amount determined by the Commissioner. The Commissioner has conceded that Mr. Williams reported $3,371 from American Bankers Life Assurance Co. on his income tax return. Therefore, the only question remaining is whether he reported $3,213 from Massachusetts Indemnity Life Insurance Co.

Gross income includes all income from whatever source derived. Sec. 61(a), Internal Revenue Code of 1954. 1*413 The Commissioner may prove the existence and amount of unreported income by any method that will, in his opinion, clearly reflect the taxpayer's income. Sec. 446(b); see Holland v. United States,348 U.S. 121, 130-132 (1954); Cambell v. Guetersloh,287 F.2d 878, 880 (5th Cir. 1961); Davis v. Commissioner,239 F.2d 187, 189 (7th Cir. 1956), affg. a Memorandum Opinion of this Court. The petitioner bears the burden of proving that the Commissioner's determination is erroneous. Rule 142(a), Tax Court Rules of Practice and Procedure2; Cracchiola v. Commissioner,643 F.2d 1383, 1385 (9th Cir. 1981), affg. per curiam a Memorandum Opinion of this Court; Marcello v. Commissioner,380 F.2d 494, 497 (5th Cir. 1967), affg. on this issue a Memorandum Opinion of this Court; Harper v. Commissioner,54 T.C.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Welch v. Helvering
290 U.S. 111 (Supreme Court, 1933)
Deputy, Administratrix v. Du Pont
308 U.S. 488 (Supreme Court, 1940)
Holland v. United States
348 U.S. 121 (Supreme Court, 1955)
Howard Davis v. Commissioner of Internal Revenue
239 F.2d 187 (Seventh Circuit, 1956)
Sanford v. Commissioner
50 T.C. 823 (U.S. Tax Court, 1968)
Harper v. Commissioner
54 T.C. 1121 (U.S. Tax Court, 1970)
Roberts v. Commissioner
62 T.C. No. 89 (U.S. Tax Court, 1974)
Cracchiola v. Commissioner
643 F.2d 1383 (Ninth Circuit, 1981)

Cite This Page — Counsel Stack

Bluebook (online)
1986 T.C. Memo. 195, 51 T.C.M. 1010, 1986 Tax Ct. Memo LEXIS 411, Counsel Stack Legal Research, https://law.counselstack.com/opinion/williams-v-commissioner-tax-1986.