Sherrer

*720 MEMORANDUM **

The tax court upheld the Commissioner’s determination that Taxpayer Hans C. Sherrer was liable for penalties, under 26 U.S.C. § 6651 (f), for fraudulent failure to file income tax returns for tax years 1989 through 1992. Taxpayer appeals, challenging the tax court’s finding of fraudulent intent. We review for clear error a tax court’s finding of fraudulent intent. Alexander Shokai, Inc. v. Commissioner, 34 F.3d 1480, 1486 (9th Cir.1994).

The tax court found fraudulent intent based on the following “badges of fraud”: (1) failure to file tax returns; (2) maintenance of inadequate business records; (3) use of a false Social Security number to conceal income; (4) extensive use of cash to conceal assets and business dealings; and (5) failure to pay estimated taxes. The court also stated that Taxpayer’s persistent failure to file returns, in view of his substantial income and previous conviction for tax evasion, was by itself sufficient evidence to support a finding of fraudulent intent, which the other “badges” only reinforced.

Taxpayer does not challenge any of those findings of “badges of fraud” (all of which are established by stipulated facts). Nor does he…