Cir

MEMORANDUM

Appellants Harry and Neale Obedin appeal from the decision of the tax court imposing deficiencies and underpayment penalties in connection with Appellants’ 2014 and 2015 tax returns. We affirm.

1. We review tax court decisions as we review district court civil bench trial decisions, reviewing factual findings for clear error and conclusions of law de novo. Xilinx, Inc. v. Comm’r, 598 F.3d 1191, 1194 (9th Cir. 2010).

2. Taxpayers claiming a net operating loss deduction must establish both the existence of the loss and the amount that may be carried over to the years in question. United States v. Olympic Radio & Tel., Inc., 349 U.S. 232, 235 , 75 S.Ct. 733 , 99 L.Ed. 1024 (1955). A taxpayer must file a concise statement of the amount of the net operating loss deduction and a detailed schedule showing its computation. 26' C.F.R. § 1.172-Kc).

On their 2004 return, Appellants claimed a net operating loss of $208,195, but failed to attach the required concise statement computing the loss. The IRS determined that Appellants had deducted certain payroll taxes twice, leading to an overstatement of the loss, such that the actual net operating loss was $90,685. At trial,…