Free Motion to Dismiss - Rule 12(b)(1) - District Court of Federal Claims - federal

Case 1:06-cv-00228-CFL

Document 11-4

Filed 11/16/2007

Page 1 of 15

. ._---------~--_. ,,
. Col numbe
I

r "\

...~.------.-..--.--.~.--.. --"---'-"-i

I OMS No. 154-O~
1

b F=mnlnv &nifialln nii""be
ç Employe'a nae, iiddl', ii zip COe

Wii, tips, ot co
?1.')?ld O?

2 t"ii Income ta "'un_~,

i:i;ìi~'" 72
4
II

3

Soial 88uri W8
Medica wii an tips

Soia 88r! ta wihed

ACel 2500

1l6th Ave.nue NE, Suite Bellevue. \'¡A 98004

68400.00

!.240.80
Meicae ta wlthed

2

15

232241.02
7
Soiii seri tips

3390.16
8 Alloced tips
10 12 14

d EmPiovee's iiiiurltv number

9 Acva EIG payment
11

Dependen ca bene

e Employee's na, addrBBs, and ZiP coe

Jerry
10803

.. .. .
NE

Nonquallfl plan
Se ¡nstrs. for bol( 13

Jewell
13

Beef included In bol( 1

Bellevue.

39th Place
HA

4148.44 Otr

98004
D

16 SItuoi

18 St

Emplover's stte 1.0. no.

0
17 Sail WI tips, it.

empl

Oe
0

18 Stlilriomi ta

19 Locity nam 20 Loc Wagi, tipi, li. 21 l.lnmlll

it

Pelo

Le Õ'

0

DerT compeoo

........l.
.
I

...

....-................ ............-..... ............... ..._........_-..._-. ...-------......._..
(0)

Depaent of the T/1ryln1 Revenue Se

l. W 2 Wage and Tax 199 8 ~ · Statement

This Inforation is being furnished

Copy B To Be Ale WI Employee'. FEDERL Tax Return to the Intemii Revenue Seice.

* Prte on re _

GOVERNMENT EXHIBIT

2

Exhibit 2, Page 1 of 15

Case 1:06-cv-00228-CFL
E

Document 11-4

Filed 11/16/2007
, I (99)

Page 2 of 15

~

1040
L

I I Deparmet 0 f e Treasury - n emaiR evenuesefICe th
U.S. Individual

Income Tax Return

1998
Last name

8222211109801
IRS Use Only. 00 not wril. or stale in this spac..
, '9
OMS No. 1545-0074

Label
(See instructions
on page 18.)
Use the IRS

For the ye Jan. 1-ooc. 31, 19ge, or ath.. lax ye beginning

i 190B, ending

Your first name and initial

Your sociaJ secrity number

A B E
L
H

JEROME C.
If a joint return, spouse's first name and initial

JEWELL
Last name
Apt. no.

Spouse's social secrity number

labeL.

Home address (number and street). If you have a P.O. box, see page 18.
E
R E

Å
Yes

IMPORTANT!
You must enter your SSN(s) above.
No

Å

Otherwise,
please print

10803

NE 39TH PL
WA

1

or type.

City, town or post office, state, and zip code. If you have a foreign address, see page 18.

Presidential
(See page 18.)

BELLEVUE.

98004
.....,.".., ....................... ",.
........... . ........... .

Note: Checing
"Yes" will not
change your tax Of

Election Campaign ~

Do you want $3 to go to this fund?

.....

... ..

X

If a joint return, does your spouse want $3 to go to this fund?

........ .

reduce yor refund.

Filing Status

1

2
3

4

Check only one box.

5

X

Single

Married fiing joint return (even if only one had income)

Married filng separate return. Enter spouse's soc. sec. no. above and full name here.
name here. ..

..

Head of household (with qualifying person). If the qualifying person is a child but not your dependent, enter this child's

Qualifying widow(er) with dependent child (year spouse died
If our parent or someone eise can claim

Exemptions

6a i Yourself.

y(

y p

~

19

). (See page 18.)
No. of boxes

ou as a de endent on his or her tax return, do not

checked on 6a
and 6b

check box 6a

i

b 0 Spouse
c Dependents:
('1) First name

No. of your

Last name

(2) Dapendent s soial security numb..

(3) Dependent's relationship to you

chlldrer on Be
who:

. lived with you
. did not live with you du e to divoce or separation
(... page 1 g)
Dependants on Co

If more than six

dependents,
see page 19.
,

not entered above

Add on numb... ~ entered
Iin.. above ~ i
7

d

Total number of exemptions claimed.
Wages, salaries, tips, etc. Attach Form(s) W-2

Income
Attach
Copy B 01 your
Forms W.2,

W-2G, and 1099.R here.
If you did not get a W-2,
see page 20.

..... .... .......d... . .... .... Taxable interest Attach Schedule B if required " .,., ..., .... ........ . " 8a ..... :"¡ "B¡;'I' b Tax-exempt interest. DO NOT include on line 8a ". ... ..... ....... " . ...... ....... ........ ". ... Ordinary dividends. Attach Schedule B If required ......... 9 .... ... ......... .......".... ..... Taxable refunds, credits, or offsets of state and local income taxes. 10 ......... ....... .......... ............ ...... . Alimony received ...... .......... ...... .
7
11

8a
9 10
11

232241. 2243.

144.
10899.
~974 . ~

12
13

Business income or (loss). Attach Schedule C or C-EZ .

......

Capital gain or (loss). Attach Schedule 0... ..... . " ....,. .....
Other gains or (losses). Attch Form 4797 ......" ..... ... .......
Total IRA distributions

14

........-. ..,.......... ..... . ..... . ....... ...... ." ..........
i

12

. ..........

13 14

15a

........

16a
Enclose, but do not staple, any payment. Also,
please use

Total pensions and annuities

t:\
16a

b Taxable amount (see page 22) b Taxable amount (see page 22)

15b
1Gb

17

18

Form 1040-V.

Rental real estate, royalties, partnerships, S corporations, trusts, etc. Attch Schedule E ...,...... ... ...... Farm income or (loss). Attach Schedule F ....... .. ....... ,,' ". ..... " .... ........ ..... Unemployment compensation 19 b Taxable amount (see page 24) I ......... I 20a I 20a Social security benefits Other income. List type and amount- see page 24 21

17 18 19

~i0694. ~

143.

20b

21

22

Add the amounts in the far right column for lines 7

through 21. This is your total income

..

22

234002.

v

Adjusted Gross Income
If line 33 is under
10,030 if a child l30,095 (under

23

IRA deduction (see page 25)

............. ... .............. ...........
.......

......

23

24 25 26
27

Student loan interest deduction (see page 27).. .. ........ Moving expenses. Attach Form 3903 One-half of self-employment tax. Attach Schedule SE Self-employed health insurance deduction (see page 28)
Keogh & self-employed SEP plans and SIMPLE plans
Penalty on early withdrawal of savings........

24
25

Medical savings account deduction. Attach Form 8853. .

...., ...........

26
27 28

28
29 30

did not live with
you), see EIC

...........

29
30

...... ..... ...... .... ,.. .

inst on page 36.

31a
32
33

Alimony paid

b Recipient's SSN .. Add lines 23 through 31 a ...........

31a

.

....... . ........

.............. .
.....

Subtract line 32 from line 22. This is vour adiusted cross inccme

..

32
33

234002.
Fa"" 1040 (1ggB)

g¿~~g.~g LHA For Disclosure, Privacy Act, and Paperwork Reduction Act NotïS, see page 51.

Exhibit 2, Page 2 of 15

Case 1:06-cv-00228-CFL
For:: 1040 (10g8) JEROME C. JEWELL
lax and
34 Amount

Document 11-4

Filed 11/16/2007

Page 3 of 15
OMS No 1545-0074
Page 2

34
tram line 33 (adjusted gross income)......................................................... .....

234002.

Credits
Deduction

35a Check it D You were 65 or older, D Blind; D Spouse was 65 or older,
Add the number of boxes checked above and enter the total here ............. ........ ......
If you are married filing separately and your spouse itemizes deductions

D Blind. r
.... ~ 35a i

Standard 1 b

or you were a dual-status alien, see page 29 and check here
Enter the larger of your Itemized deductions from Schedule A,ïi-rís. 28; Ò'ft stá'ndä"ri. ........

~ 35b

D
36
37

for Most 36
People
Single:

deduction shown on the left But see page 30 to find your standard deduction if you
checked any box on line 35a or 35b or if someone can claim you as a dependent ....... .... ... ... .

$4,250
Head of

37 Subtract line 36 from line 34 ..... ... ....... ...... ................. .........

,.,
38 39 40

21470. 212532.
324. 212208. 63109.

household: $6,250
Married fiing jointly or
Qualifying

38 If line 34 is $93,400 or less, multiply $2,700 by the total number of exemptions claimed on line 6d. If line 34 is over $93,400, see the worksheet on page 30 for the amount to enter

39 Taxable Income. Subtract line 38 from line 37. If line 38 is more than line 37, enter -040 Tax. See page 30. Check if any ta from aD Form(s) 8814 b D Form 4972 ...:::::.: :.. ... ::::.
41 Credit for child and dependent care expenses. Attach Form 2441 .. ............... 41

....

~

widow(er):

$7,100
Married
filing

42 Credit for the elderly or the disabled. Attch Schedule R ... ...... 42
43 Child tax credit (see

page31) ........ ...... .......... ......... ....... 43

44 Education credits. Attach Form 8863 ..... ....... ........ 44

separately: $3,550

45 Adoption credit Attach Form 8839 . . . ....... ..... 45
46 Foreign tax credit. Attach Form 1116 if required . ... ... .... 46

47 Other. Check if from a D Form 3800 b D Form 8396.;(

c D Form 8801 d D Form (specify) 47
48 Add lines 41 through 47. These are your total credits ................ ... ................ ....... .. .
49 Subtract line 48 from line 40. If line 48 is more than line 40, enter -0- .....

........

.........

..

48 49
50
51

~

63109.

Other Taxes

50 Self-employment tax Attach Schedule SE ......... ........................... .... ......
51 Alternative minimum tax Attach Form

6251 ................. ...... ............. ..... .........

..... ...... ... ....

....
..'

....

52 Social security and Medicare tax on tip income not reported to employer. Attach Form 4137

53 Tax on IRAs, other retirement plans, and MSAs. Attach Form 5329 if required ......
54 Advance earned income credit payments from Form(s) W-2 .. ..... .........
55 Household employment taxes. Attach Schedule H....... . . ........ ...
56 Add lines 49 through 55. This is your total tex .. ......
Payments 57 Federal income tax withheld from FormsW-2

........ .............
...

52 53

.........

and 1099 ....... ...

57
58

~ 5618 6 .

...

.....

54 55
56

63109.

58 1998 estimated ta payments and amount applied from 1997 return.........

Attch
Forms W-2 and W-2G on page 1.
Also attch

59a Earned income credit. Attch Schedule EIC if you have a qualifying child

b Nontaxable earned income: amount ~ I I
and type ~
60 Additional child tax credit Attch Form 8812 ......... .................. .....

59a
60
61

Form 1099-R

if tax was

61 Amount paid with Form 4868 (request for extension) .. ....... .... ... ........ ....
62 Excess social security and RRT A tax withheld (see page 43) ...............

62 63

withheld.

63 Other payments. Check if from a D Form 2439 b D Form 4136 .....
64 Add lines 57, 58, 59a, and 60 through 63. These are your total Davments ." .......

~

64 65

56186.

Refund
Have It

from line 64. This is the amount you OVERPAID ....... ..... .... 65 If line 64 is more than line 56, sublracl line 56

66a

dwecly depositedl
See page 44 and fill In eeb,

66a Amountofline65youwantREFUNDEDTOYOU .................................... ...... ....... ..... ~

~ b Routing number ~ c Type: D Checking D Savings
~ d Account number
67 Amount of line 65 vou want APPLIED TO YOUR 1999 ESTIMATED TAX ~ i 67 I

6&., and Bed.

Arno unto 68 If line 56 is more than line 64, subtract line 64 from line 56. This is the AMOUNT YOU OWE.

68

6923.

You Owe For details on howto pay, see page 44 ........ ................ ..... ............ .......ï'..6..9..'1.... ............... ~
69 Estimated tax oenaltv. Also include on line 68 ........ ...... i

,.

Sign Here
Keep a copy

at I ha..e examined this return and accompanylng scedules and statements, and to the best 01 my knowledge and p . DøcaratJon of preparer (other than taaye) Îs base on all information of which preparer has any knowledge.

Date Your ocupation Daytime telaphone number (optional)

for your

records.

Paid slgnatur. Preparer's

..'.

U sa I Firm's nam. (or 0 n y yours if .elf-em-

playe) and add'...

~ P . O. BOX 789 KIRKLAN r WASHINGTON

HERSMA SERLES P . S .

~

NGINEER
Preparl!'s soda! secrIty no.

i

98083-0789

810002

02.16.99

6

Exhibit 2, Page 3 of 15

Case 1:06-cv-00228-CFL
SCHEDULES A&B

Document 11-4

Filed 11/16/2007

Page 4 of 15
OMS No. 1545-0074

(Form 104)
Interal Revenue Serice
Deparment of the Treasury

Schedule A - Itemized Deductions
(Schedule B is on page 2)
~ Attach to Form 104.
~ See Instuctions for Schedules A and B (Form 104).

1998
~:a~';ce;~o. 07
Your soal sety number
i

Nare(s) shown on Form' 040

JEROME C. JEWELL tdth Caution: Do not include expenses reimbursed or paid by others. Medical 1 Medical and dental expenses (see page A.1). ..... S E.E.. SI'l~?"EMEN'l P . 1 and . ... 2 234002. , 2 Enter amount from Form 1040, line 34 .. Dental

9076.

Expenses
Taxes You

3

4 5
6 7

Multiply line 2 above by 7.5% (.075) .................,. ......... ..... ............ ..........,........ Subtract line 3 from line 1 . If line 3 is more than line 1, enter .0. State and local income taxes ................................................... ........... ....... ....-.

3

17550.
4

n.

5
6 7

Paid
(See
page A-2.)

Real estate taxes (see page A.2) ............................................................ .............. Personal property taxes .................. ...... .....,....' ......... .......................... .... ..........
Other taxes. List type and amount

4337.

8

~ -- - - - -- -- - -- -- - - ---- - -- - - - - - - - -- - - - -9
Add lines 5 through 8..... ... ....................... ........". .. .............

-- ---- - - - - - ---- - -- - --- - - - ------ -- - --- 8... ...... ............ . 19 . .......
........... .
10

Interest
You Paid
(See
page A3.)

10
11

Home mortgage interest and points reported to you on Form 1098........................ Home mortgage interest not reported to you on Form 1098. If paid to the person from whom you bought the home, see page A3 and show that person's name, identifying no., and address

18186.

4337.

~ - - - - -- - - - - - - - - - - ---- - - - - - - - -- -- - - - - -12 13 14 15
16 17 18

Note: Personal
interest is

-- ---- - - -- - --- ------- - - - - - - - - - - --- - --

11

Points not reported to you on Form 1098. See page A.3 for special rú¥.'l....4...

not deductible.

Investment interest. Attach Form 4952 if required. (See page A3.) .. .S.'lM'l...5... ....... ....... .... .............. Add lines 10 through 13 , ............................................. ....... ...........
,', ".
Gifts by cash or check. 11 you made any gift of $250 or more,

12 13

83. 1584.
14

19853.

Gifts to

Charity
if you made a gift and got a
benefit for iI, see page A-4.

15 see page AA ............................................................................ .................. ...... .' Other than by cash or check. If any gift of $250 or more, see page A4. 16 You MUST attach Form 8283 if over $500 ........... ................................ ......... ..... 17 Carryover from prior year .................................. .............................-.. ..... ..... .... ........... ..... .................... . .......... Add lines 15 through 17..... . ,..

565.
18
19

565.

Casualty and Theft Losses

19

Casualty or theft loss(es). Attach Form 4684. (See page A.5.)...... ..... ............ ..........
Unreimbursed employee expenses - job travel, union dues, job education, etc.

........ .. ....

Job Expenses
and Most Other

20

You MUST attach Form 2106 or 21 06.EZ if required. (See page A.5.)

Miscellaneous Deductions
21

~ ---- -- ---- - - - - - - - --- --- -- -- - -- -- - - --Tax preparation fees ....... ......,..............................................................
Other expenses. investment, safe deposit box, etc. List type and amount

- - - - -- - - ----- - -- - - -- - - - - - - - --- - - -- --...... .....

20
21

322.

22

(See page A6 for
expenses to

~l~Q~ ~~ J_ ~ _ T~QqaAPPR _ l l L - - - - - - - - - - - - - - l~ç _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _~93~ .

deduct here.)
23 24 25 26 27

- - ---- -- ------- -------- ------------ --

Add lines 20 through 22.... .............. ...... ............. ...... line 34 ................ ............. Enter amount from Form 1040,

- - - - -- - - --- -- - - - - - --- -- - - - - - - - - - ----- - - - - - -- -- --- - - - - - - - - ------ - - --- - - - -HT~4lH .......................

22 23

1936. 2258. 4680.
........ .....
26

234002.
......... ........

T:
25

Multiply line 24 above by 2"/0 (.02) .......................................... ....... Subtract line 25 from line 23. If line 25 is more than line 23, enter .0.

. ..... ...... .... .

O.

Other

Other. from list on page A6. List type and amount

Miscellaneous Deductions

~ - - - - -- - --- -- - - - -- -- ---- -- - - - - - - - - - - - ----- - - - - --

- - - - - - -- -- - ----- -- -- - - - - -- - - - - - - -- - - - - - -- --- - -- - - - - - - - - - --- - - - - --- - - ---- -- - - - - - - -- - - --- -- - - --

- - - - - - - - -- - ------ ---- - --- - - - - - - --- - - --- -- --- - -STMT 7
through 27. Also, enter on Form 1040, line 36, the larger of this amount or your
standard deduction.

27

Total Itemized

28

separately)? Is Form 1040, line 34, over $124,500 (over $62,250 if married filing
NO. Your deduction is not limited. Add the amounts in the far right column for lines 4

Deductions

~
1.......

28

21470.

~ ;~5g-g8 7
LHA For Paperwork Reduction Act Notice, see Form 1040 instructions.

YES. Your deduction may be limited. See page A6 for the amount to enter,
Schedule A (Form 1040) 199

Exhibit 2, Page 4 of 15

Case 1:06-cv-00228-CFL
Sct'ules Me (Fom 1040) 1QQ8
NlIo(s) shoW" on

Document 11-4

Filed 11/16/2007

Page 5 of 15
OMS No. '545-0074 Pa~ /
Your soial serity number /

Fom '040, Do not enter name and soial serity number ii shown on page 1.

JEROME C. JEWELL
Schedule B - Interest and Ordinary Dividends
Part I
Note: If you had over $400 in taable interest income, you must also complete Part III.

/
1373 "

Interest

1 Ust name of payer. If any interest is from a seller.financed mortgage and the buyer used the
property as a personal residence, see page 8-1 and list this interest first. Also, show that

buyer's social security number and address.

ACCI

BAN OF AMERICA NT&SA DBA SEAFIRST BAN
Note: If you
received a Form 1099.INT, Form 1099-0ID, or substitute statement from a brokerage firm, list the firm's

NATIONAL SECURITIES CORP. u. S. TREASURY DEPARTMENT STATE OF CALIFORNIA FROM K-l - APEX ENTERPRISES i LLC

190. 3. 455. 125. 97.

name as the

the total interest
shown on that form.

payer and enter

/
~ ::i~:::i;~~:;:s~:~7e~e'~' ËË' u'.s'.' ~~~'i~~~"b~'~d~'i~~~U'~d ~. .. r '1989 'fro~ Fo'r~'ä81'5,'" ... .. ....

2

2243.
2243.
Amount

line 14. You MUST attach Form 8615 to Form 1040 ... 3
4 Subtract line 3 from line 2. Enter the result here and ~~'F"" '1046: li~~¡3a .....:.. .. .. .: ... . ..:.. ~ 4

Part II

Note: If you had over $400 in ordinary dividends, you must alló complete Part IIi.

Ordinary Dividends

5 Ust name of payer. Include only ordinary dividends. fiport any capital gain distributions

on Schedule D, line 13 ~ /

CHALES SCHWAB & CO. - INC /
FROM K-1 - APEX ENTERPRIsEs
Note: If you
received a Form 1 099.DIV or

substitute

statement from

a brokerage firm, list the firm's

name as the payer and enter
on that form.

the ordinary

dividends shown

/

// /

/7 /

//

/

// /

7

/

//

LLC

38. 106.

5

6 Add thifamounts on line 5. Enter the total herB and on Form 1040, line 9 ...,...... ' . 6

144 "
Yes
No
-- ,

Part II You m~t/omplete this part if you (a) had over $400 of interest or ordinary dividends; (b) had a foreign account; or
Foreign (e) rec~ed a distribution from, or were a grantor of, or a transferor to, a foreign trust.

Accounts Aa t any time during 1998, did you have an interest in or a signature or other authority financial account? .......... ....... over a financial
and account in a foreign country, such as a bank account, securities account, or other

X

Trusts b If 'Yes,' enter the name of the foreign countr ~
8 During 1998, did you receive a distribution from, or were you the grantor of, or transferor to, a foreign trust?
If "Yes,' vou may have to file Form 3520 .... ,..... ....... .... ......................................... ,. ....',....

X

LHA Fo(Paperwork Reduction Act Notice, see Form 1040 instructions.
8275Q1 11-02 ~98

Schedule B (Form 104) 1998

8

Exhibit 2, Page 5 of 15

Case 1:06-cv-00228-CFL
SCHEDULE C
.(Form 1040)
Deparment of tte Treasury

Document 11-4

Filed 11/16/2007

Page 6 of 15
OMS No, 1545.0074

Profit or Loss From Business
(Sale Proprietorship) ~ Partnerships, joint ventures, etc., must file Form 1065 or Form 1065.B.

1998
~~~~";~o 09
Social secrity number (SSN)
B Enter NEW code ~om pages C-8 :;

Interal Revenue Serice (gg)
Name of proprietor

~ Attach to Form 1040 or Form 1041. ~ See Instructions for Schedule C (Form 1040).

JEROME C. JEWELL
A Principal business or profession, including product or service (see page C-l)

GOLD MINING
C Business name. If no separate business name, leave blank.

~ 2122001
D EmploY' ID number (EIN), rt any

Business address (including suite or room no.) ~ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ - - - - - - - - - - - - - - - - - - - - - - - - - - - -

City, town or post office, state, and zip code

F Accounting method: (1)00 Cash (2)D Accrual (3)D Other (specify) ~ - - - - - - - - - - - - - - - - - - - - - - - - - ..... H If you started or acquired this business during 1998, check here ~ D
'No,' see page C-2 for limit on losses . ",......', " . ,... LX Yes DNa G Did you 'materially participate' in the operation of this business during 1998? Ii

rpåi111 Income
1

!hal form was checked, see page C-3 and check here
2 3 4

Gross receipts or sales. Caution: "this income was reported to you on Form W-2 and the' Statutory employee" box on .....". ....... .......... . ... .... . ~ ...... ..... . ....... ..... ..... Returns and allowances ........... .... ........ ........ ....".. ................ ..... ..... ............ .............. .."... ........ ....... ..... ............ Subtract line 2 from line 1 ....... ..... ........ .......... ............ .... .......... ... ...... ...... Cost of goodS sold (from line 42 on page 2)

D

1

2

3 4

5

6

.......... . ....... .......... . Gross profit. Subtract line 4 from line 3 ......... Other income, including Federal and state gasoline or fuel tax credit or refund (see page C-3) ..... ....

....... .

5

6

...... .-.. ........... Gross income. Add lines 5 and 6.". IPårtUI Expenses. Enter expenses for business use of your home only on line 30.
7 8 9

~
........ .....
......

7

Advertising... '
Bad debts from sales or
services (see page C-3)

........... ...

8

19

Pension and profit-sharing plans
Rent or lease (see page C-5):
a
b

19

20
9

Vehicles, machinery, and equipment
Other business propert

20a
20b
21

10

Car and truck expenses (see page C-3) ......

10
11

21

Repairs and maintenance ....',
Supplies (not included in Part ill)
Taxes and licenses

11

Commissions and fees
Depletion

22

12 13

.................. .......... ......

12

23
24
1
b

..... .

... . ..... ....... ..... ... .....

22 23 .'.

Depreciation and section 179

Travel, meals, and entertainment
Travel

expense deduction (not included in

........ .

. .......... .......... .

241

Part III) (see page C-4)........ , .......
14

13

Meals and

Employee benefit programs (other
than on line 19)

entertinment .....
14
15
c

.... .

Enter 50% of line

15

16
1 b

insurance (other than health) ... ........ Interest
Mortgage (paid to banks, etc.)

24b subject to

o',:c

limitations (see page C-6) ...
d

16a
16b

Subtract line 24c from line 24b
Utilities

24d
25

Other

..........
.... ......

25
26 27

".......
..... .

17

Legal and professional

Wages (less employment credits)

26 27

services
18 28
Office expense

17
18

Other expenses (from line 48 on
page 2) ...

Total expenses before expenses for business use of home. Add lines 8 through 27 in columns ..

.............
. .........
...

~

28
29 30

974. 974.

29 30
31

Tentative profi (loss). Subtract line 28 from line 7........... ,

.... .... ..... .......

Expenses lor business use of your home. Attach Form 8829 ....

............ ........ .

.........

....... ..... .... .

..974. ~

Net profit or (loss). Subtract line 30 from iine 29. . If a profit, enler on Form 1040, line 12, and ALSO on Schedule SE, line 2 (statutory employees, see page C-6).
Estates and trusts, enter on Form 1041, line 3,

31

..974, ~

. If a loss, you MUST go on to line 32.

1
32a i. is at investment \ l. All risk.

32 If you have a loss, check the box that describes your investment in this activity (see page C-6). . If you checked 32a, enter the loss on Form 1040, line 12, and ALSO on Schedule SE, line 2 (statutory employees,
see page C-6). Estates and trusts, enter on Form 1041, line 3.

. If you checked 32b, you MUST attach Form 6198.

1

32b D Som. inv..lment is not al risk.
Schedule C (Form 1040) 1998

LHA For Paperwork Reduction Act Notice, see Form 1040 Instructions.
82000 1

10.28-98

9

Exhibit 2, Page 6 of 15

Case 1:06-cv-00228-CFL

Document 11-4

Filed 11/16/2007

Page 7 of 15
Page 2

a 0 Cost

b 0 Lower of cost or market

c 0 Other (attch explanation)

34 Was there any change in determining Quantities, costs, or valuations between opening and closing inventory? If

"Yes; attch explanation., .....,..., ........... ........................... .......... ...... ..... .................... .......,.... ........ ........ ,...
35 36 37 38

....DYes
35 36

DNo

Inventory at beginning of year. If different from last year's closing inventory, attach explanation

Purchases less cost of Ilems withdrawn for personal use ,....
Cost of labor. Do not include any amounts paid to yourself .... ,....

37 38
Materials and supplies. .....

39 Other costs
40
Add lines 35 through 39

39 40
41

41 Inventory at end of year

........... ..... ..................... '" ..... .......... ...............

42 Cost of Doods sold. Subtraclline 41 from line 40. Enter the result here and on oaoe l,line 4 42
IPåi1IVl Information on Your Vehicle. Complete this part ONLY if you are claiming car or truck expenses on line 10 and are not required
to file Form 4562 for this business. See the instructions for line 13 on page C-4 to find out if you must file.

43 When did you place your vehicle in service for business purposes? (month, day, year) ~
44 Of the total number of miles you drove your vehicle during 1998, enter the number of miles you used your vehicle for:
a Business

b Commuting

c Other

45 Do you (or your spouse) have anolher vehicle available for personal use?"

",.,,0 Yes

46 Was your vehicle available for use during Off-duty hours?".
47 a Do you have evidence to support your deduction?

DYes
..'

",.........,."..... ...,..... ........ .... .............,..........

"......... .. ....

.... . "Yes . is the evidence written?..... rpårtVj Other Expenses. List below business expenses not included on lines 8.26 or line 30.
b
II

'nYes

DYes

DNa DNo DNo

nNo
974.

MINE EXPLORATION

48
820002 10.28-98

Total other expenses. Enter here and on page 1, line 27

I 48

974.

10

Exhibit 2, Page 7 of 15

Case 1:06-cv-00228-CFL
SCHEDULE D (F'orm 104)
Ò.parment of lh. Tr.""ury
Internal Revenue Serce (Qli)

Document 11-4

Filed 11/16/2007

Page 8 of 15
OMS No, 1545-0074

Capital Gains and Losses
~
See Instructions for Schedule 0 (Form 104). ~ Use Schedule 0-1 for more space to list transactions for lines 1 and 8.
Attach to Form 104.

~

1998
~~:.;~~0.12
Your social seurity number

Name(s) shown on Form 1040

JEROME C. JEWELL

( ~lloale
Be uired

\,pi!rfll Short-Term Capital Gains and Losses - Assets Held One Year or Less
(a) Oesiplion of propery
(Example: 100 sh. XYZ Co.)
1

(d) Sales prioe
(5sli page D-6)

100 SH

- PFIZER

INCORPORATED 4,000 SH - WESTERN COPPER HLDGS LTDF

08/06/98 03/23/98 01/27/98 08/20/98

(G) Oilla sQld

at er basis (S.. page 0-0)

(e~ Cosl or

(f) GAIN or (LOSS)
Subtract (0) ~om (d)

10438.
6750.

9749.
19770.

689.
..13020.b-

2 Enter your short.term totals, if any, from
Schedule D.1, line 2 .... ................................. ............

2 3

..

3 Total shor-term sales price amounts. Add column (d) of lines 1 and 2............ .......................

17188.
4 5

4 Short.term gain from Form 6252 and short.term gain or (loss) from Forms 4684, 6781, and 8824 ......................................... ..... ...,.. .-............. ................... 5 Net short.term gain or (loss) from partnerships, S corporations, estates, and trusts
from Schedule(s) K.1

.............,...................................................................... ............ .............

8721.
(

6

Short.term capital

loss carrover. Enter the amount, if any, from line 8 of your ...... .... ......... ........ 1997 Capital Loss Carryover Worksheet _............,.............. ................

a
7

)

7 Net short-term capital gain or (loss). Combine lines 1 through 6 in

column if .".....,......... .,............ . '....,........,......... ..."...' ............... ..................',......... ....,...
(a) Desciption of propery
(Example, 100 sh. XYZ Co,)

~

..3610 .~
(f) GAIN or (lOSS)
Subtract (e) from (d)

fPartlll Long-Term Capital Gains and Losses - Assets Held More Than One Year
~¿~~~~
-- Oal. sold

(d) Sales pr;ce
(Se page 0-5)

(e~ Cost or

at er basis

(a) 28% RATE GAIN
* or (lOSS) (388 instr. below)

(5"" page 0-0)

8

SEE STATEMENT 8

82490.

67981.

14509.

9
10
11

Enter your long-term totals, if any, from Schedule D-1, line 9 .......................... ...................

9 10

Totallong-terrn sales price amounts.
Add column (d) of lines 8 and 9... ........ .............. .....

82490.
11

12

Gain from Form 4797, Part I; long-term gain from Forms 2439 and 6252; and long.term gain or (loss) from Forms 4684,6781, and 8824....................................... ."...... . Net long-term gain or (loss) from parnerships, S corporations. estates, and trusts

from Schedule(s) K.1 ..... .................................. ............................ ............ ......... ...............

12
13

13
14

Capital gain distributions. See page D.2

..................

....... ...... .......

...... .............
..

Long-term capital loss carryover. Enter in both columns (f) and (g) the amount, if any, from line 13 of your 1997 Capital Loss Carrover Worksheet .......".................. ..........................

14
15

)

15 16

Combine lines 8 through 14 in column (g) ....................... ..................
Net long-term capital gain or (loss). Combine lines 8 through 14 in

.................... .....
..

column (f)

.... ....................... .................

..

............................... ......

.......................

~

16

14509.

Next: Go to Part ilion page 2.
* 28% Rate Gain or Loss includes all 'collectibles gains and losses" (as defined on page D.6) and up to 50"Æi of the eligible gain on qualified
smail business stock (see page D-5).
Schedule 0 (Form 104) 1998

LHA For Paperwork Reduction Act Notice, see Form 1040 instructions.
8205' i/02.16.Q9

11

Exhibit 2, Page 8 of 15

Case 1:06-cv-00228-CFL
I Partin'.

Document 11-4

Filed 11/16/2007

Page 9 of 15

..chedul. D (From 10'0 1998 JEROME C. JEWELL

I SUmmary of Parts l and II
17

~
10899.

17 Combine lines 7 and 16. If a loss, go to line 18. If a gain, enter the gain on Form 1040, line 13 Next: Complete Form 1040 through line 39. Then, go to Part IV to figure your tax if:
. Both lines 16 and 17 are gains, and

. Form 1040, line 39, is more than zero. 18 If line 17 is a loss, enter here and as a 00ss) on Form 1040, line 13, the smaller of these losses:
. The loss on line 17; or

. ($3,000) or, if mared filing separately, ($1,500) Next: Complete Form 1040 through line 37. Then, complete the Capital Loss Carrover Worksheet on page 0-6 if:
. The loss on line 17 exceeds the loss on line 18, or

18 (

. Form 1040 line 37 is a loss.

ffpãrt:lV:d Tax Comoutation Using Maximum Capital Gains Rates
19 Enter your taxable income from Form 1040, line 39,. .
19

20 Enterthesmallerofline16orlineWofScheduieD ..........,..,......,.,..,.'. ......,
21 If you are filing Form 4952, enter the amount from Form 4952, line 4e,

20
21

10899. 10899.
O.

212208.

,

22 Subtract line 21 from line 20. If zero or less, enter -0- .............. 23 Combine line 7 and 15. If zero or less, enter -0-.. ...... ............. 24 Enter the smaller of line 15 or line 23, but not less than zero.,.

recaptured section 1250 gain, if any (see page 0-7),.... ..... .........., 26 Add lines 24 and 25 ............... ,....... ................... ........... ...... ..... ,.....
25 Enter your un

22 23 24 25 26

27 Subtract line 26 from line 22. If zero or less, enter -( ,
28 Subtract line 27 from line 19. If zero or less, enter -0-.. ."....,. ....,..... ".,..,.. ............ .........

27 28

10899. 201309.

29 Enter the smaller of:

· The amount on line 19, or J
. $25,350 if single; $42,350 if mamed filing jointly or qualifying widow(er); ............ ' ..... ....... ".., .'

29

25350.
25350. 201309. 201309.

$21,175 if mared filing separately; or $33,950 if head of household

I"..
30
31

30 Enterthesrnallerofline280rline29 ,....', ........... ........ .....,..... ....",.
31 Subtract line 22 from line 19. If zero or less, enter -0-... ..... . ... .. ....... ... .......... ' .....
32 Enter the

larger ofline30orline31..... "..., ..,.... ,.... ..,....,'..', ....,....

32

33 Figure the tax on the amount on line 32. Use the Tax Table or Tax Rate Schedules, whichever

applies '..........,.. ..,..' . ...,. . ..,...... . .,.... ........' ... ......', ,..., ..... .
the amount from line 28 ...... .,...' .,.. ..,...... ........ .......

~ 33
34 35 36

60929.
25350 201309
O.

34 Enter the amount from line 29 ,..." .,... ... "
35 Enter 36 Subtract line 35 from line 34. If zero or less, enter -0- ....., ..... ..... , ....... .... ..... ........ .

37 Multiply line 36 by 10% (.10) 38 Enter the srnaller of line 19 or line 27 39 Enter the amount from line 36 40 Subtract line 39 from line 38

~ 37
38 39 40
.. ~ 41 42

10899. 10899.
2180.
o.
o

41 Multiply line 40 by 20% (.20) ...... 42 Enter the smaller of line 22 or line 25

43 Add lines 22 and 32 ..." ".."
44 Enter the amount from line 19 .. .., ........ ..,... .......... .. .... 45 Subtract line 44 from line 43. If zero or less, enter -0- . 46 Subtract line 45 from line 42. If zero or less, enter .0-. .....
47 Multiply line 46 by 25% (.25) ..

..,.. ''l43l'''
,....,... r44

212208. 212208.
45 46

~ 47
48 .,.. 49 50

48 Enter the amount from line 19 .,...

49 Add lines 32, 36, 40, and 46.,.. 50 Subtract line 49 from line 48 .... ............ ..... ....... .... ......... ...... ................ ........
51 Multiply line 50 by 28% (.28) ...'.... ' .,.....
52 Add lines 33, 37, 41, 47, and 51,.., . , ..... , .. ,. ,...', ...' .........
53 Figure the tax on the amount on line 19. Use the Tax Table or Tax Rate Schedules, whichever applies

212208. 212208.
63109. 64852.

~

51

52 53

54 Tax on taxable income (including capital gains). Enter the smaller of line 52 or line 53 here and on
Form 1040, line

40 .....,. ............ ....,...". .. .....' .........,. ...... ,.'" ,." ,.,., ~ 54

63109.

820512 12-07-g8

12

Exhibit 2, Page 9 of 15

Case 1:06-cv-00228-CFL

Document 11-4

Filed 11/16/2007

Page 10 of 15
Page 2
Your social security number

Schedule E (For 1040) 199a Name(s) shown on return. Do not enter nami and social secrity number If shown on Page 1.

Macmont Sequence No.13

JEROME C. JEWELL
Note: If you report amounts from farming or fishing on Schedule E, you must enter your gross income from those activites on line 41 below.
Real Estate professionals must complete line 42 below.

Income or Loss From Partnerships and S Corporations Note: If you report a loss from an at-risk activity, you MUST
check either column (e) or (f) on line 27 to describe your investment in the activity. If you check column (f) you must attach Form 6198. Invtitment AI Riik? (d) Employer (b) Enter P for (c) Chec i foeign ~elAii f)~Dn"i identification number s trisk at risk parnenip o~as~~~~~b§n (a) Name

27

* *

.B

R

r.

APEX ENTERPRISES LLC INDEPENDENT DATA SYSTEMS
TROUBADOR

RACHO CALIFORNIA PARTNERS-II

n
~

II

INC

P P P S

- -

.--.--.

X X

X
X

Passive Income and Loss
(g) Passive loss allowed (attach Form 8582 if required)
.B

Nonpassive Income and Loss
(h) Passive income
from Schedule K.1

(i) Nonpassive loss
from Schedule K-1

(j Section 179 expense

(k) Nonpassive income
from Schedule K.1

deduction

from Form 4562

R

5773.
.,
"

4871.
50.

.J
F

r.

28a
b

Lir,;,..;" Totals . .......... Totals ........ .... I

;"'J','i. .."'''..'
Ie, .,'. ...,

'" ..,;:" ...' ."

5773.

ii:'." ,:.'

4921.

,.,d..\T~,,;..',;. .,.....
29
30
(

29
30
31

.... ........ ..-... ...... . ........,.... ...-, .. ........ . .......'. ,... ......... ...... ,....... ......... ........ ....... Add columns (g), (i), and (i) of line 28b.,. , ,............ ...... ...... ... .... .....
Add columns (h) and (k) of line 28a .

10694. )

Total partnership and S corporation income or (loss). Combine lines 29 and 30. Enter the
resuit here and include in the total on line 40 below

. .....

. ....

31

~10694.~
(b) Employer
identification number

I P~rtiirllncome or Loss From Estates and Trusts
32
A
B

(a) Name

Passive Income and Loss
(c) Passive deduction or loss allowed (attach Form 8582 if required)
(d) Passive income from Schedule K.l

Nonpassive Income and Loss
(e) Deduction or loss
from Schedule K-1

(f) Other income from
Schedule K-l

Ai
BI
33a
b

Totals ... ... ... ....... . .. Totals ........,.. .

TÇ,......,.
I

:i,...... ...,..'...
.... .......

. ,

.' .:.

'.','.'

;,...,

..

'.

,. " ...
..........." ...... , ....
. .........
34

.

34 35

Add columns (d) and (f) of line 33a ... Add columns (c) and (e) of line 33b ..'

.....,..

. ....... ........ ........... ........ ......

..

.......

...... ...

...... .

35 36

(

L

36
I Pál'flV

Total estate and trust income or (loss). Combine lines 34 and 35. Enter the result here and
include in the total on line 40 below ......................................... ..........................................-...................................
I

Income or Loss From Real Estate Mortgage Investment Conduits \. ..." ...s) - Residua Holder
~d) Taxable income (net

37

(a) Name

(b) Employer identification number

(c) Excess inclusion from
Schedules Q, line 2c

ass) from Schedules a, line 1b

(e~ Income from Sc edules Q, line 3b

38 39
40
41

Combine columns Id\ and Ie) only. Enter the result here and include in lhe total on line 40 below

3R

IPàrtV,I Summary

*

ENTIRE DISPOSITION OF PASSIVE ACTIVITY
"", ....... ..,. .,............ . . ..... ....... ......

Net farm rental income or (loss) from Form 4835. Also, complete line 41 below

39

TOTAL income or (loss). Combine lines 26, 31, 36, 38, and 39. Enter the result here and on Form 1040 line 17

~

40 i

~i0694.~

Reconciliation of Farming and Fishing Income, Enter your gross farming and fishing line 7; Schedule K-1 (Form 1065l, line 15b; Schedule income reported on Form 4835,
K-1 (Form 1120S), line 23; and Schedule K-1 (Form 1041), line 14 (see page E-6) ......., ...,
41

42

Reconciliation for Real Estate Professionals. If you were a reai estate professional,

enter the net income or (loss) you reported anywhere on Form 1040 from all rental real

estate activities in which you materially participated under the passive activity loss rules
8215Q1 10-28-gB

42

13

Exhibit 2, Page 10 of 15

Case 1:06-cv-00228-CFL

Document 11-4

Filed 11/16/2007

Page 11 of 15

1998 Income from Passthroughs

RACHO CALIFORNIA PARTNERS-II

I. D. NUER:

TYPE: PARTNERSHI?

ACTIVITY INFORMTION:

RACHO CALIFORNIA PARTNERS-II
100% DISPOSITION AT A NET LOSS

ORDINARY INCOME (LOSS)

-3546
-3546 -1325

SCHEDULE E ACTIVITY INCOME (LOSS) PAL CAYOVER FROM 1997 - SCHEDULE E
SCHEDULE E ACTIVITY NET LOSS

-4871

TAX PREFERENCE ITEMS:
AMT PAL CARRYOVER FROM 1997 - SCHEDULE E

1325

82802'

10-16-96

Exhibit 2, Page 11 of 15

. .., Case 1:06-cv-00228-CFL

Document 11-4

Filed 11/16/2007

Page 12 of 15

1998 Income from Passthroughs
APEX ENTERPRISES, LLC

I.D. NUER:

TYPE: PARTNERSHIP

ACTIVITY INFORMTION:
APEX ENTERPRISES, LLC
OTHER PASSIVE ACTIVITY
ORDINARY INCOME (LOSS)

-1866
-1866 -3907
-5773

SCHEDULE E ACTIVITY INCOME (LOSS) PAL CARYOVER FROM 1997 - SCHEDULE E
ALLOWABLE PASSIVE LOSS FROM FORM 8582

TAX PREFERENCE ITEMS:
AMT PAL CARRYOVER FROM 1997 - SCHEDULE E

3907

OTHER K-1 INFORMTION:
INTEREST - TOTAL DIVIDENDS - TOTAL INVESTMENT INCOME
97

106 203

828021 lO-16-gB

Exhibit 2, Page 12 of 15

Case 1:06-cv-00228-CFL

Document 11-4
".

Filed 11/16/2007

Page 13 of 15

1998 Income from Passthroughs
INDEPENDENT DATA SYSTEMS

I . D. NUBER:

TYPE: PARTNERSHIP

ACTIVITY INFORMTION:
INDEPENDENT DATA SYSTEMS
100% DISPOSITION AT A NET LOSS
ORDINARY INCOME (LOSS)

-50
-50

SCHEDULE E ACTIVITY INCOME (LOSS)

82802 i 10-H3.9B

Exhibit 2, Page 13 of 15

Case 1:06-cv-00228-CFL

Document 11-4

Filed 11/16/2007

Page 14 of 15

1998 Income from Passthroughs
TROUBADOR I I, INC

I.D. NUER:

TYPE: S CORPORATION

ACTIVITY INFORMTION:
TROUBADOR I I, INC

OTHER PASSIVE ACTIVITY

PASSIVE SHORT-TERM CAPITAL GAIN (LOSS)
TOTAL ACTIVITY INCOME/LOSS

8721 8721

OTHER K-1 INFORMTION:
DEDUCTIONS RELATED TO PORTFOLIO INCOME - 2%

1936

828021 10-16-98

Exhibit 2, Page 14 of 15

Case 1:06-cv-00228-CFL

Document 11-4

Filed 11/16/2007

Page 15 of 15

1998 Income from Passthroughs

SUMY OF K-1 INFORMTION FOR ALL PASSTHROUGHS
OTHER K-1 INFORMTION:
INTEREST - TOTAL DIVIDENDS - TOTAL
DEDUCTIONS:

106

97

DEDUCTIONS RELATED TO PORTFOLIO INCOME - 2%

1936

INVSTMENT INTEREST EXPENSE:
INVSTMENT INCOME
TAX PREFERENCE ITEMS:
AMT PAL CARRYOVER FROM 1997 - SCHEDULE E

203

5232

828021 10-i6-eB

Exhibit 2, Page 15 of 15