AJF Transportation Consultants, Inc. v. Commissioner

T.C. Memo. 1999-16

UNITED STATES TAX COURT AJF TRANSPORTATION CONSULTANTS, INC., ET AL.,1 Petitioners v. COMMISSIONER OF INTERNAL REVENUE, Respondent Docket Nos. 12590-95, 24190-96, Filed January 28, 1999. 24482-96, 24483-96. J is a corporation engaged in furniture delivery services. F is J's sole shareholder and president. J's client issued checks to J for its delivery services and for fuel costs. F cashed the checks personally and diverted the funds for his own personal benefit. None of the diverted funds were reported as income on F's individual tax returns or on J's corporate tax returns…