Free Proposed Findings of Uncontroverted Fact - District Court of Federal Claims - federal

Case 1:05-cv-01071-SGB
L
Departent of

Document 23-2

Filed 12/28/2006

Page CoPy 1 of 14
, 20 I OMS No. i 545-0074
Number

the Treasury - .,iitemal Revenue Service

Form 1 040
Label
(See instrctions. )
Use the

U.S. Individual

Income Tax Return
MI

2000 l(99)'
, 2000, ending

IRS use only - Do not write or staple in this space.

For the year Jan 1-Dec 31, 2000, or other tax year beginning
Your First Name

Last Name

HENDY
If a Joint Relurn, Spouse's Firs Name

J
MI

LUND
Last Name
rity Number

IRS label.

Otherwise, please print

DANIEL

5

PIERCE
Y
State
ZlP Code

or tye.

1800

TUCKER ROAD
CA

m

r social

..

City, Town or Post Offce. If You Have a Foreign Address, See Instrctons.

security number(s) above.

Presidential Election Campaign
(See instrctions.)

SCOTTS VALLEY

95066
No

~ Note: Checking 'Yes' will not change your tax or reduce your refund. Do you, or your spouse if fiing a joint return, want $3 to go to this fund? . . . . .. ~ Single Married filing joint return (even if only one had income) Married filng separate return. Enter spouse's SSN above & full name here. .. ~ Head of household (with qualifying person). (See instructions.) If the qualifying person is a child but not your dependent, enter this child's name here. .. ~
Qualifying widow(er) with dependent child (year spouse died ~ ). (See instructions.)

Yourself. If your parent (or someone else) can claim you as a dependimt on his or L No.ofboxes i-i
her tax return, do not check box 6a . . . . . . . . . , . . , . . , . . . . . . . . . . . . . . . . , . . . . . . . . . . . . , I ~~~~~e~~n. . . .1 2
Spouse .....,...........,...................................................... - No. of your

(2) Dependent's (3) Dependent's (4) if ~~i~h~~ on C Dependents: social security relationship qualifying child . lived -I

(1) First name Last name Instrctions) with YDU due to sep- CL divorce or
a..tion (see

number to you for child lax with younDt live . . credit (see . did .. - .

instctions) ..

six dependents,

If more than

Dependents
entered

see instrctions.
d Total number of exemotions claimed. .... . . .. .. .. ... . .......... ... . .. .... .. .. .. . . .. .... . ..

on 6c not II
above. .. ....

Add numbers .1

lines above . ~

entered on

Income
\'-2 and W-2G here. Also attach

7 Wages, salaries, tips, etc. Attach Form(s) W-2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

7

1,625,507.

21

rltach Fonns

8a Taxable interest. Attach Schedule B if required. .. .. . . . . .. ., .. .. . . .. .. . . .. .. .. ., . . . . . . . b Tax-exempt interest. Do not include on line 8a. . . .. . . . . .. ..1 8bl
Ordinary dividends. Attach Schedule B if required. . . . . . . . . . . . . . . . . . , . . . . . . . . . . . . . . . . . . 10 Taxable refunds, credits, or offsets of state and local income taxes (see instructions). . , .. 11 Alimony received ..... ............ .....,.. .......... .......... .... ....., ........ ... 12 Business income or (loss). Attach Schedul,e C or C-EZ. ,........ . .... ...... . ... .., . .,. . 13 Capital gain or (loss). Attach Schedule 0 if required. If not required, check here. .., ~ 0
9

8a
9

81.

6,657.
220, 788.

ta): was withheld.

F r¡rn(s) 1099-R if

10
11

.

If you did not get a W-2, see

12 13

2,950.

instuctions.

14 Other gains or (losses). Attach Form 4797. . . .. .. . . .. . . .. .. .. .. . . .. .. .. .. . . . . .. . . . . . . .

1Sa Total IRA distributions... .. ~ I b Taxable amount (see instrs) .. 16a Total pensions & annuities. 16a b Taxable amount (see instrs) . .
17 Rental real estate, royalties, partnerships, S corporations, trusts, etc. Attach Schedule E. 18 Farm income or (loss). Attach Schedule F. . . .. . . .. . . . . .. .. . . .. . . .. . . . . .. . . .. . . . . . . . . .

14 1Sb 16b
17 18 19
21

Enclose, but do

not attach, any payment. Also,

19 Unemployment compensation. .... .... .. . . ...... .. .... ... ..... .. . ... .... .. ... . .... ..

~Iease use

20a Social security benefits..... I 20al I b Taxable amount (see instrs).. 20b
.21
Otler income. List tye & amount (see instrs)

onn 1040-V.

Adjusted Gross Income
,

22 23 24 25 26 27

i

Add the amounts in the far right column for lines 7 through 21; This is your total income~ 22 IRA deduction (see instructions). . . . . . . . . . . . . . . . . . . . . . . . . . . 23 24 Student loan interest deduction (see instructions). .... ...... Medical savings account deduction. Attach Form 8853. .. . . . . 25 Moving expenses. Attach Form 3903. ,. .. .. ...... ...... .,. . 26 " 4Q. One.half of self-employment tax. Attach Schedule SE. .. .... 27 28 Self-employed health insurance deduction (see instrctions). 28 29 Self-employed SEP, SIMPLE, and qualified plans. ,..... .... 29 30 Penalty on early withdrawal of savings. ., , . .. .... .. . ... .... 30
31 a Alimony paid

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

1,855,983.

32 Add lines 23 through 31 a . ...... .... .... ... ... ...... .... ...... .......... .... ........ ..... 33 Subtract line 32 from line 22. This is your adjusted gross income. . . . . . . . . . . . . . . . . . . . . BAA For Disclosure, Pnvacy Act, and Paperwork Reduction Act Notice, see instructions.

b Recipient's SSN . . . . ~

,.. .

31 a

~ 33

32
I.

I, 855,943.
Form 1040 (2000)

40.

Defendant's Exhibit
1

FOIA0112 11107/00

1

506 ..l-

.. Form .1040 (2 ODO)-.

ii
Tax and Credits
for Most People
Single: $4,400
Head of

Case 1:05-cv-01071-SGB
HENDY j LUND

Document 23-2

Filed 12/28/2006

Page 2 of 14

, .IEL S PIERCE

34 Amount from line ~,J (adjusted gross income) ... ............... ... ..............

855,943.

4221 Paqe2

35a Check if: D You were 65/0Ider, D Blind; D Spouse was 65/older, D Blind, I
Add the number of boxes cnecked above and enter the total here. . . . . . . . . . .. ~ 35a L
b If you are married filing separately and your spouse itemizes deductions,

Standard Deduction

L
r-

or you were a dual-status alien, see instructions and check here. . . . . . . . . . . .. ~ 35b 0
36

36 Enter your itemized deductions from Schedule A, line 28, or standard deduction shown on the left. But see instructions to find your standard deduction if you checked any box on line 35a or 35b or if someone can claim you as a dependent.. .. . . . . . . " . . . . :; 'Subtract line 36 from line 34 . . . . . . . . . . . . . . . . . . . . . , . . , . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . .
38 If line 34 is $96,700 or less, multiply $2,800 by the total number of exemptions claimed on line 6d. If line 34

:;

7,350. 1,848,593.

is over $96,700, see the worksheet in the instructions for the amount to enter. . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

household: $5,450
Married filing jointly or Qualifying widow(er): $7,350 Married filing

39 Taxable income. Subtract line 38 from line 37. If line 38 is more than line 37, enter .0,. .. 39
40 Tax (see ¡nstrs). Check if any ta is from a 0 Form(s) 8814 b 0 Form 4972 ....................... 40

1.848,593.
ir 674, 453",)

O.

41 Alternative minimum tax. Attach Form 5251........................................... 41

42 Add lines 40 and 41 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . .. . . . . . . . . . ~ 42 43 Foreign tax credit. Attch Form 1116 if required. . . . , . . . . . .. 43
44 Credit for child and dependent care expenses. Attach Form 2441 . . . . . . . . .. 44

ozu,¿13. 1,294,666.

GDIÎ1) ~ +zL a. ¡~3-r)",-IQ. 5"/7, ooD

separately: $3,575

45 Credit for the elderly or the disabled. Attach Schedule R. .. .. 45 46 Education credits. Attach Form 8863. . . .. . . . . .. .. . . . . .. .... 46

47 Child tax credit (see instructions). . . . . . . . . .. .. . . . . .. . . , , ..' 47
48 Adoption credit. Attach Form 8839. .. .. .. .. , . .. .. . . . . . . .. .. 48

h;S+~ hLA-.)'lj (.!
...

49 Other. Check if from. . a B Form 3800 b 0 Forri,8395

c D Form 8801 d Form (specify) 49

firl0"'ly rl-. -3soíc iil!ac,L (a.;J, cA fa,j
1 , 294,666.

50 Add lines 43 through 49. These are your total credits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50

51 Subtract line 50 from line 42. If line 50 is more than line 42, enter -0,. , . . . . . . . . . . . . . .. ~ 51
52 Self-employment ta Attch Schedule SE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . 52

79.

Other Taxes

53 Social security and Medicare tax on tip income not reported to employer. Attach Form 4137 . . . . . . . . . . . . . . . . . 53

54 Tax on IRAs, other retirement plans, and MSAs. Attach Form 5329 if required. . .. .. .. . ., 54 55 Advance earned income credit payments from Form(s) W-2. .. .. ., .. . . .. .... ... .... . ... 55
56 Household employment taxes. Attach Schedule H. .. .. .... .......... .. . ,...... .. .. ... . 56

57 Add lines 51.56. This is your total tax.. . .. . . . . . .. .. .. . . . .. .. .. .. .. .. . . .. . . .. . . .. . .. .. .. . .. .. 57

1 , 294,745 .

Payments
qualifying

58 Federal income tax withheld from Forms W-2 and 1099...... 58 19,512.
59 2000 estimated tax payments and amount

If you have a L

applied from 1999 return. . . . . . .. 59 5 , 283 .

child, attach r
Schedule EIC

60a Earned income credit (EIC)... .... .. .. .. ...... .. .. .... .. .. 60a

b Nontaxable earned income: amount . .. and type ~ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
61 Excess social security and RRT A tax withheld (see instrs) . .. 61
62 Additional child tax credit. Attach Form 8812 ... .. .... ...... 62

63 Amount paid with request for extension to file (see instructions) , . . . . . . . .. 63

64 ~D :::::~~s~ ~~~.C.k. ~f. ~~.~.' ......... ~. ~ ~~~~. ~~.9. .. .. .. 64 I
65 Add lines 58, 59, 60a, and 51 through 54. These are your
total payments ..... . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ~ 65 66 66 If line 65 is more than line r¡, subtract line r¡ from line 65. This is the amount you overpaid. . . . . . . . . . . . . . .
67a Amount of line 55 you want refunded to

24,795.

Refund
Have it directly deposited! See
and 67d.

you. ......,... .. .. .... ........ .... ....... .. ~

67a

instrctions and fil in 67b,57c,

~ b Routing number. . . . . . . . ~ c Type: 0 Checking 0 Savings
~ d Account number. . . .. . .
68 Amount of line 66 you want applied to your 2001 estimated tax. . . . . . .. ~I 68 -I
69 If line 57 is more than line 65, subtract line 65 from line '5. This is the amount

Amount You Owe
Sign Here
Joint retum?

you

owe. For details on hoW to pay, see instructions. .. . . .. . . .. .. ... . . . .. .. . . .. ., .. .. .. . . 70 Estimated tax penalty. Also include on line 69. . . . . . . . . . . . . . I 70 I

~ 69 1 . 269 , 950 .
¡*~itlt:l£liRi~~~~ifilt.ttt~*~i~f*i~t¡

Under penalties of peMury, I declare lIat I have examined lIis retum and accompanyng s.chedules and slalements, and 10. lhe best of my knowledge and information of which preparer has any knowledge. are tre, corrc~ and complete. Declaration of preparer (olher than laxpayer) IS based on all belief, they

See instrctions.
Keep a copy

. ,-. i-, " "v' -'

~ ~! r-\ \ ~) 0.,1 ( TECH TRAINER
Preparets
Signature Fi rr's Na e
(or yours if self-employed),
Addres, and zip Code

for your records.

.preparer shown below . I . FDIAOl12 10ßOIO ..
Your Signature ... 0";' Date Your Occpation Daytme Phone Number

II STUD E NT (see instrctons)? X Yes Date Preparets SSN or PTIN
BLUM & TRIPP ~ 480 LYTTON AVE PALO ALTO

Spou.i~!lnatum 'Jiit Return, Both Must Sign. Date Spouse's OCOJpation May the IRS disOJ5S this reb.rn with the

Paid Preparer's
Use Only

-ç. 0'LJCô4 ~~/~/
CA

94301

94-2450826
F orrn 1040 (2000)

2

c;o 6 :.

Case 1:05-cv-01071-SGB
lForm 2121 0
Oeparbenl of lhe T re.sury
Internl Reverue Servce

_._ ..___UÐa~JPaYl1~DtoLn___. .
~ See separate instructions.

Document 23-2

Filed 12/28/2006

PageOMSof i14 40 3 No. 545.01

Estini..ced Tax by Individuals, Estates aL..lrusts
~ Attach to Form 1040, 1040A, 1 040NR, 1 040NR-EZ, or 1041.

2000
06
only

Name(s) Shown on Tax Return

HENDY J LUND & DANIEL S PIERCE
if one Dr more boxes in Part I a from Part Iii. line 27, or Part LV, line 35, on the penalty line of your return. but do not attach Form 2270. amount

Jli.ij1tMtMf Reasons for Filng - If la, 1b, or 1c below applies to you, you may be able to lower or eliminate your penalty. But you

must check the boxes that apply and file Form 2210 with your tax return. If 1 d below applies to you, check that box and file Form 2210 with your tax return.

1 Check whichever boxes apply (if none apply, see the Note above): a 0 You request a waiver. In certain circumstances, the IRS will waive all or part of the penalty. See Waiver of Penalty in the instructions.

b ¡g You use the annualized income installment method. If your income varied during the year, this method may reduce the amount of

one or more required installments. See the instructions.

c 0 You had federal income tax withheld from wages and, for estimated tax purposes, you treat the withheld tax as paid on the dates it was actually withheld, instead of in equal amounts on the payment due dates. See the instructions for line 23.

d 0 Your required annual payment (line 14 below) is based on your 1999 tax and you filed or are filng a joint return for either 1999 or
2000 but not for both years.

'I
2
3 1 1
,

~.ga4ii%%M Required Annual Payment

2 Enter your 2000 tax after credits (see instructions) ,. ....... ......... .............. ........ ,- .. .... ...... . 3 Other taxes (see instructions) ..... .... ,. .... ...... ...... .......... " ...... ...... .... .... ........ ...... 4 Add lines 2 and 3 . ........ .. ........ ... ..... ........ .............. ........ ...... .......... .... ...... 5 Eared income credit ..... .......... .... .......... .. ...... .... .... .... ..... 7 Credit for federal tax paid on fuels. . . . . _ _ . . . . . . . . . . . . . . . . . . . . . . - . .... ...... .. 8 Add lines 5,6, and 7 ........... .................... ........ .... .... ...... ......
6 Additional child tax credit. . . . . . . . _ . . _ . . . . . . . . . . . . . . . - . . . . . . . . . . . . . . . . . . . . . . .

294, 666
79

4

,

294, 745

m

It
8
9
.................. ¡~~¡¡~~tlq.

9 Current year tax. Subtract line 8 from line 4....... _.. ..... -..................................... .. ..... 1 , 165, 271 10 Multiply line 9 by 90% (.90) ............... .. ...... ..... _......... _.. ... _.. .. 110 I Do not include any estimated tax payments on this line (see instrctions). - . . . . . . . - . . . . . . 11 Withholding taxes.

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

1

,

294, 745
19, 512.

11

12 Subtract line 11 from line 9. If less than $1,000, stop here; do not complete or file this form. You do not owe the penalty. . . . . . . .... ...... ........ .... .... ...... .... ... ......... ........ ...... ........ .. .. ........ . 13 Enter the tax shown on your 1999 tax return (108.6% of that amount if the adjusted gross income shown on that retu is more than $150,000, or, if married filing separately for 2000, more than $75,000) _ Caution:
See instructions
... .......... ........

12

1

275, 233
23, 522 23, 522.

.. .... ........ .... ......... ... ...... ...... .... .... .. .. ...... .... ,1"+ Required annual payment. Enter the smaller of line 10 or line 13... _. _...................... ..... ........ .
Note: If line 77 is equal to or more than line 74, stop here; you do not owe the penalty. Do not file
Form 2270 unless you checkea box 7d above.

13 14

:eaft1JWMt! Short Method (Caution: See the instructions to find out if you can use the short method. If you checked box 7b or 7c in
Part I, skip this part and go to Part IV.)

15 Enter the amount, if any, from line 11 above..... _. . . . . .. . . .. .. . . . , .. . . . . .. ., 15 16 Enter the total amount, if any, of estimated tax payments you made. . . . . . . . . . .. 16
17 Add lines 15 and 16. . . . . . . . . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . - . . - . . . . . . . . . - . . . . . . . . . . . . . . . . . . - . . . . . . . - .

:¡I~iJII

17

18 Total underpayment for?cear. Subtract line 17 from line 14. If zero or less, stop here; you do not owe the penalty. Do not file orm 2210 unless you c!iecked box 1 d above. . . . . . . . . . . . - . . . . . . . . .. . .. . . . . . . . . . . .
19 Multiply line 18 by .05976 .. . . . _ . _ . . . . . . . . . . . . . . . . . . . . . . . - . . - . . . . - . . . , ' . . . . . - . . - . . . . . . . . . . . . . - . . . - . . . . .
20 . If the amount on line 18 was paid on or after 4115/01, enter -0-.

. If the amount on line 18 was paid before 4/15/0 1, make the following computation to find the amount to enter on line 20.
Amount on
line 18

Number of days paid
x
before 4/15/01

x

.00025 ....... . . . . .. . . .. .. .. .... 20

.~¡I

21 Penalty.'Subtract line 20

on Form 1040, line 70; Form 104OA, line 45; Form 104ONR,

from line 19. Enter the result here and
Form 2210 (2000)

line 69; Form 104NR-EZ, line 27; .or Form 1041, line 26....... .. .... .... ... ... .. .. .. .... .., . .. . . .. .... ~ 21

BAA For Paperwork Reduction Act Notice, see separate instructions.

FDlZ012 01103101

3

gOb - (p

Case 1:05-cv-01071-SGB
,HENDY ~J LUND & DANIEL S PIE. ~
Form 2210 (2000)

Document 23-2

Filed 12/28/2006

Pag
Page 2

~:RârkMl\ttl Regular Method (See the instructions if you are fiing Form 1040NR or lO4ONR-EZ.)

,:""'",:,:,:,,,,: Pa ent Due Dates

Section A - Figure Your Underpayment \::¡m:f\lt (a) (b) (c) ,:::,,::::::,:::::::: 4/1 5/00 6/15/00 9/15/00
22 Required installments. If box 1b applies, enter the amounts from Schedule AI, line 26. Otherwise, enter 25% (.25) of line 14, Form 2210, in each column. .. .. .
23 Estimated tax paid and tax withheld (see instructions). For column (a) only, also enter the amount from line 23 on line 27. If line 23 is equal to or more than line 22 for all payment periods, stop here; you do not owe the penalty, Do not file Form 2210 unless you checked a box in Part I . . . . . . . . . . . . . . . . . . . . . . . . . 22

f¡¡~¡m~i~t~l

(d)
1/15101

4,299.

5,232.

3,883.

10,108.

4,878.

4.878.

10,161.

Complete Jines 24 through 30 of one column
before going to the next column.

24 Enter amount, if any, from line 30 of previous column ..,...... . . . . . . . . . . . . . . . . . . . . . . . . . .
25 Add lines 23 and 24 . , . . . . . . . , . . . . . . . . . . . . , . . . . . . . . .

5.457.
o.

579.

5.J03.
o.

225.

1,220. 11,381.
O.

26 Add amounts on lines 28 and 29 of the
previous column ...................................

27 Subtract line 26 from line 25. If zero or less, enter -0-. For column (a) only, enter th; amount from line 23 . . . . 28 Ifthe amount on line 27 is zero, subtract line 25 from line 26. Otherwise, enter -0-. . . . . . . . . . . . . . . . . . . . . . . . .
29 Undeilayment. If line 22 is equal to or more than line 2 ,subtract line 27 from line 22. Then go to

5.457.
o.
29

5,103. 11,381.

o. !1111¡III¡i¡¡I¡I¡¡I¡:I:¡.llíll¡i¡lll:II.,I:

line 24 of next column. Otherwise, go to line 30. . . . .

~

30 Overpayment. If line 27 is more than line 22, subtract line 22 from line 27. Then go to line 24 of next column. _ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

30

579.

225.
6/15/00
Days:

Secton B - Figure the Penalty (Complete lines 31 through 34 of one column before going to the next column.)
':':-:':':':';':':'.'

::i:,'1,i,:,: 4/15/00
R A

9/15100
Days:

T E

April 16,2000 - December 31,2000

Days:

p 31 Number of days from the date shown above line

E 31 to the date the amount on line 29 was paid
o

~ or 12/31/00, whi-:hever is earlier. .... .. .... .... .. 31
D 32
Underpayment on line 29
x

Number of days on line 31

366 x
15, 2001

.09

~

32 $
ttttt! 12131/00
D~ys:

$
12131/00
Days:

$
12131/00
Days:

1/15/01
Days:

R A

T

- January 1, 2001 -April

E
P E R

o
2

I

33 Number of days from the date shown above line 33 to the date the amount on line 29 was paid or 4/15/01, whichever is earlier.. . . . . . . . . . . . . . . .. 33

D 34

Underpayment
on line 29

x

Number of davs on .line 33

365

x

.09 ~

34 $

$

$

$

35 Penalty. Add all amounts on lines 32 and 34 in all èolumns. Enter the total here and on Form 1040, line 70; Form 104OA, line 45; Form l04NR, line 69; Form lO40NR-EZ, line 27; or
Form 1041, line 26 . ........ .... .... .. ........ .. .... .. .. .. .. ...... .,.... .. .. ... .,. .... ... ... .. .. . .. . . "

~ 35 $
Form 2210 (2000)

FDizæ12 12/19100

4

5°Çi-7

Case 1:05-cv-01071-SGB

Document 23-2

Filed 12/28/2006

Page 5 of 14
Page 3

~orm 221a (2000) HENDY J LUND&-'.~NIELSPTERCE nnualized ncome Installment Method (see instructions) Sche u e :::;:::::::;:::::;::::
Estates & trusts, do not use the period ending dates shown to the right. Instead, use the fol. lowino: 2/29/00, 4/30/00, 7/31/00, & 11/30/00.
1

d I AI A 1

:::::::;:::::::::::::: ::::::=::;:::;:;=::;:: ~r~~~~~f1~r~

(a) 111/00 - 3/31/00

I

(b) 111/00 - 5/31/00

(c) 111/00 - 8/31/00

(d)
1/1/00 - 12/31/00

M?:'ianmm:i

Annualized Income Installments
1

Enter your AGI for each period. (Estates and trusts, enter your taxable income

without your exemption for each period). .
Annualization amounts. (Estates & trusts, see ¡nstrs)

32,600.
4

2
3

2
3

Annualized income. Multiply line ¡ by line 2 . . . . . , .
Enter your itemized dedns for the period shown in each col. If you do not itemize, enter .0. and skip to line 7. (Estates & trusts, enter .0-, skip to line 9,

130,400.
O.
4

2.4 139,200.
O.

58, 000.

1.5 133,500.
O.

89, 000.

i, 855,943.
1

1,855,943.
O.
1

4

and enter the amount from line 3 on line 9.). . . . . . .

4
5
6

Annualization amounts. . . .. . . . . . . . . . . . . 6 Multiply line 4 by line 5 (see instructions if line 3 is more than $64,475). . . . . ... . . . 7 In each column, enter Uie full amount of your
5
standard deduction from Form 1040, line 36, or Form

2.4
O.

1.5
o.

o.

O.

1040A line 22 (Form 1040NR or 1040NR.EZ filers,

enter .0.. Exception: Indian students and business
apprentices, enter standard deduction from Form 1040NR, line 35 or Form 1040NR.EZ, line 11.). . . . . .

7
8
9

8 9

Enter the larger of line 6 or line 7, . . . . . . . Subtract line 8 from line 3 ... . . . . . . . . , . .
In each column, multply $2,800 by the total number of exemptions claimed (see instructions if line 3 is
more t1an $96,700). (Estates and trusts and Form 1040NR or 1040NR.EZ fiers, enter the exemption

7,350. 7,3S0. 123,050.

7,350. 7,350. 131,850.
5,600. 126,250. 21,181.
21,181.
O. O.

7,350. 7.35S. 126,150. 5,600. 120,550. 19,754.
118.

7,350. 7,350. 1,848,593.
O.

10

amount shown on your la return.) ..... . . . . . . . .
11

10

Subtract line 10 from line 9 . . . . . . . . . . . . .

"

11 7,450.

5,600.
O. O.

12 Figure your tax on !he amount on line 11 . . . . . . . . . 13 Form 1040 filers only, complete Part II and enter
your self.employment tax from line 35 below . . . . . .

12
13

19,105.

1,848,593. 674,453.
79. 620,213. 1,294,745.

14

Enter otler taxes for each payment period ....... .

14
15

15 Total tax. Add lines 12, 13, and 14. .... ..

19,105.
19, 105.

19,872.

O.

16 For each period, enter the same type of credits as
allowed on Form 2210, lines 2, 5, 6, and 7 . . . . . . . .

17 Subtract In 16 from In 15. If zero or less, enter -0- . . 18 Applicable percentage. .. .. .. .. . . .. .. .. . 19 Multiply line 17 by line 18. . . . _ . . . . . . . . . .

16 17 18 19

21,181.
45%

19,872.
67.5%

1,294,745.

. 4.299.
1¡¡¡il,tlf,\~¡t:¡:::~~¡I¡'¡!I:¡l:il.¡fi..IIII~'~I:

column before going to the next column. 20 Add amounts in all previous columns of line 26 . . . .
21
Subtrct In 20 frm In 19. If zero or less, enter -0-

Caution: Complete lines 20 - 26 of one

.. .. .'

22.5%

9.53L.

13,414.

1.165,271.
13,414. 1,151,857. 5,879. 4,229. 10,108.
~::::::?:::tt:::t:::::t:::::l:¡::t:::::::::::g:::t::~t

90%

20

. .. 21

22

~l5ri~5~c~2;S1~~I~ .1.: .~~ ~.~ .1. ~.f_~~:r 22 23 Enter amount from line 25 of the previous column of this schedule ."...... , , . . . . . 23 24 Add lines 22 and 23 and enter t1e total . . . . . . . . . . 24 25 Subtrct In 21 from In 24. If zero or less, enter -0- . .. 25
26 Enter the smaller of line 21 or line 24

¡~J.¡¡Il.: :.::::: . J~r:::::::::::'::"':':':':':~:~:::::

..

4,299.

4,299. 5,232.
5,88L.

here and on Form 2210, line 22 . ...... ~ 26

5,881. 1,582. 4,299.

1,582. 7,463. 2,231.

9.531. 3,883. 5,881. 2,231. 8,112. 4,229. 3,883.
2,724 _

5,232.
$31,750

10,108.

neiftUfft

Annualized Self-Emplovment Tax
TP 27

7J. Net earnings from self-employment
for the period. .....................

(For Part II, TP - Taxpayer and SP - Spouse) O. O.

2,724.
$76,200 76,200.
O.

SP
28 29
30
31

28 Prorated social security tax limit. . . .. .. ..
actual for the subject to TP 29 Enter seOJritywagesthe 6.2% periodof tie social tax or porton
30
31
7.65% RR retirement (tier 1) tax ............ SP

$19,050 19,050.
O.

31,750.
O.

$50,800 50,800.
O.

or less, enter .0. . . . .. .. .. .. .. . . .. .. SP
32
33

Subtract line 29 from line 28. If zero

TP

Annua/ization amounts . . . , . .. . . . . . . . . . . 32 Multiply line 31 by the smaller of line TP

0.496
O.

0.2976
O.

0.186
O.
o . 0435
O.

0.124
O.

27 or line 30 . . . . . . . . . . . . . . . . . . , . . . . SP 33 Annualization amounts.. , .. .. . . . . .. .

0.116
O.

0.0696
O.

0.029
118. 118.

SP 34
34 Multiply line 27 by line 33 . . . . .. . . , .. TP 35 Add lines 32 and 34. Enter the result SP 35

79.
79.

D.'

here and on line 13 above.., ., .. . ~TP

BAA

FDIZD3D4 0110/01

5

Form 2210 (2000)

C:(J(P - $?

Case 1:05-cv-01071-SGB
\Schedul~A& B (Form 1040) 2000

Document 23-2

Filed 12/28/2006
OMS No.

Page 6 of 14

1545.0074 Page Z.

Name(s) Shown on For 1040. Do Not Enter Name and Social Security Number if Shown on Sdiedule A.

HENDY J LUND & DANIEL S PIERCE

I

Schedule B - Interest and Ordinary Dividends
N0 e. f I h ad t you
Part I
1

over

Interest
(See instructi ons for Form 1040, line 8a.)

List name of payer. If any interest is from a seller-financed mortgage and the buyer Also, used
a personal residence, see the instructions and list this interest first. show that buyer's social security number and address. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
the property as

$400 i t p rt III
in taxable in erest, you must a so comp e e
a

08
Amount

~

50.
31

5I~TJ_~~~~V£Q~1~ -------- -- - -- --- -- --- ---- - ---

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

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

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

Note. If you received a Form 1099.INT, Fonn 1099-010, or

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

1

subsbbJle statement
frm a brokerage

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

fimi, list the fimi's

name as the payer and enter the total interest shown on that fomi.

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

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

- - - - -- - - -- -- - - - - - - -- - - -- - - - - - - -- - -- - - - - - - - -- - - - -- - ---- - - - - - - - - - - - -- --- - - - -- - - - - - - - - - - -amounts on line 1. ............ ....., .... ........ .... .... ,.,.,...
. ..... .......

..

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

2 Add the

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

2
3

81

3 Excludable interest on series EE and i U.S. savings bonds issued after 1989 from Form 8815, line 14. You must attach Form 8815. ...................,.. .... ., ., .. .. .... . ~ 1040, line 8a............. 4 Subtract line 3 from line 2. Enter the result here and on Form

4

81.
Amount

Part II

Ordinary Dividends

5 List name of payer. Include only ordinary dividends. If you received any capital gain

~~~~~~~ ~~~T~~~ _ _ _ _ __ _____ _ __ - - - - - -- - - --- - - - -J_~~_~~y~g~----- -------------------- --- - ---J ~~ J _ ~~ ~ ~~ - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

distributions, see the instructions for Form 1040, line 13. .... ~ _ _ _ - - - - - - - - - --

(See instructi ons

for Form 1040,
line 9.)

J~~J_~~~~~____ - - - ----- ------- - ------ ---- - ---

5~ho~2~ 5~n~__ - - - - - - - - - - -- - -- - - - -- -- - - -- - - - - -lIote. If you
received a Fonn
subsbbJle statement

100. '1,557.

4.379.

615. 6.

1099.0IV or

from a brokerage fimi, list the fimi's

and enter th
that form.

name as 1he payer

ordinary . dividends shon on

- - - - - -- - - -- - - - - - - - - -- - - - - -- - - - ----- - ---- - - -- - - - - -- - - -- - - - - - -- - -- - - - - -- --- ---- - - ----- --- - - - - - - - --- - - - - -- - - -- - -- - -- - - --- - - - - - - - -- -- - - - - - -- --- - - - - - - -- -- - -- -- - - - - - - - - -- - --- - - -- - - - - -- - --- - - - - -- -- -- - - - - - - - - - -- - - - - - - -- - --- - - - - - - ---- - -- - - -- - -- - - -- - - - - - - ---- - - --- - - --- - - - - - - --- - - - -- - - - -- - - -- - - -- - -- - ---'- ---- - --- - - - - - - --- -- -"- - - - -- - - - --- - -- - --- -- - - - -- - --- - - - - - -- - -- - - - - -- --- - -- - -- - - - --- - -- - - -- -- ---

5

-- - --- -- --- -- - -------------------------- ----- - - -- - - --- - - - - - - - -- - - - ---- - -- -- - -- -_. --- - -- - - - - - - - - - - - - - - - - - - -"- - - - - - - - - - - - - - - - - - - - - - --

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

6 Add the amounts on line 5. Enter the total here and on Form 1040, line 9.... ...... ... .', ~ 6 foreign account; 0

Part 1\ F orei gn

You must complete this part if you (a) had over $400 of interest or ordinary dividends; (b) had a

(c) received a distribution from, or were a grantor of, ora transferor to, a foreign trust.

Accounts and Trusts
(See
instructions.)

7a At any time during 2000, did you have an interest in or a signature or other autority over a financial account
in a foreign countr, such as a bank account, securities account, or other financial account? See instructions for exceptions and filing requirements for Form TD F 90-22.1. . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
b If 'Yes,' enter the name of the foreign countr . ~ _ _ _ _ _ _ _ _ - - - - - - - - - - - - - - - - - - -

8 During 2000, did you receive a distribution from, or were you the grantor of, or transferor to, a roreign trst?

BAA

For Paperwork

Reduction Act Notice, see Farm 1040 instructions. FDIAD41 0512/00 Schedule B (Form 1040) 2000 6

If 'Yes,' you may have to file Form 3520. See instructions. . . . . .,. . .. ... . . . .... . ... .. . . . . . . . . . ... .. . . .. .. . X

So b- o¡~

~.

Case 1:05-cv-01071-SGB Document 23-2 Filed 12/28/2006 Net Profit from BusinessSchedule C-EZ
(Sole Proprietorship)
~ Partnerships, joint ventures, etc, must fie Form 1065 or 1065-6.

Page 7 of 14
OMB No. 1545.0074

(F orm 1040)
Department of Uie Treasury

2000
09A

Internal Reve..e Service (99)
Name of Proprietor

~ Attach to Form 1040 or Form 1041. ~ See instructions.
IS

HENDY J LUND
\:'lifKM1¡¡WU General

5

Information
. Had business expenses of $2,500

. Had no employees during the year.

You May Use r
Schedule C-EZ _
Instead of Schedule C Only if You:

or less.

. Use the cash method of accounting.

. Did not have an inventory at any

time during the year.
business.

r
I And You: i

. Are not required to file Form 4562,
Depreciation

this business. See the instructions
if you must file.

and Amortization, for

for Schedule C, line 13, to find out

. Did not have a net loss from your

. Had only one business as a sole
proprietor.

T

. Do not deduct expenses for business use of your home.

. Do not have prior year unallowed

passive activity losses from this business.

..
B Enter code from instructions

A Principal business or profession, including product or service
CONSUL TING

~ 651000
D Employer ID number (EIN), if any

C Business name. If no separate business name, leave blank.
SAME

E Business address (including suite or room number). Address not required if same as on Form 1040, page 1.
SAME

City, town or post offce, state, and zip code
SAME
!:P4llt...il Figure Your Net Profit

1

Gross receipts. Caution: If this income was reported to you on Form W-2 and the 'Statutory employee' box on that form was checked, see Statutory Employees in the instructions for
Schedule C, line 1, and check here. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . , . . . . . . . .

~

D

1

3,500.
550.

2 Total expenses. If more than $2,500, you must use Schedule C. See instructions. .. . . .. .. . . . . . . . , . . . . . . ., .
3

2

Net profit. Subtract line 2 from line 1. If less than zero, you must use Schedule C. Enter on Form 1040, line 12, and also on Schedule SE, line 2. (Statutory employees do not report this amount on Schedule SE,
line 2. Estates and

trusts, enter on Form 1041, line 3.) . .... .. .... ., . ... .. .;...... . ... .... .... .. .. .. .. .. .

3

2.950.

~R¡lff¡ijHm#llnformation on Your Vehicle. Complete this part only

if you are claiming car or truck expenses on line 2.

4 When did you place your vehicle in service for business purposes? (month, day, year) ~
5 Of the total number of miles you drove your vehicle during 2000, enter the number of miles you used your vehicle for:

a Business

b Commuting

c Other

6 Do you (or your spouse) have another vehicle available for personal use? . .. .. .. . . . . . . .. . . .. . . .. . . . . . . .. .. . .. 0 Yes
7 Was your vehicle available for use during off.duty hours? ... .... ., .. .... .... ...... .... ... ... .... . . .. .. . . .. . ,DYes

DNo

DNo DNo

Sa Do you have evidence to support your deduction? . .... .... ,......... .. .. ....... .. . ...... ., .. ., ., . . .. .. .... . 0 Yes

b If 'Yes,' is the evidence written? . .. .. .. , . . .., .. .. ., .. . .. . .. .. .. . . . . . . . . . . . . . . . . . . .. . . . . . . . . .. . . .. .. . . . . . . . No

BAA For PaperWork Reduction Act Notice, see Form 1040 instructions. Schedule c-EZ (Form 1040) 2000

FPIA801 06/15/00

7

50(0-10 .

Case 1:05-cv-01071-SGB
( (Form 1040)

Document 23-2

Filed 12/28/2006

Page 8 of 14
OMS No. i 545.0074

Schedule 0
Internal Reverue Service (99)
Name(s) Shown on Form i 040

Capital Gains and Losses
~ Attach to Form 1040. ~ See instructions for Schedule D (Form 1040).
~ Use Schedule 0-1 for more space to list transactions for lines 1 and 8.

2000
12

Departent of the Treasury

propert (txamlllê: 100 shares )ÇZ Co)

(a) Description of

Subtrct (e) from (d)

(f) Gain or (loss)

1

100 TEXAS NSTRUMNET 07/22/99 01/03/00
300 INTERS EED

9,868. 3,675.

6,890. 3,900.
3,856.

06/01/00 08/16/00 DISCOVERY UND F

OS/29/99 01/25/00

4,447.

GABEL LI FU D

OS/29/00 01/25/00
2

9,440. 5,252.
1 , 6 0 1 , 1 7 8 . .::I\lll¡¡tl¡I\¡¡I¡:i¡¡,:illl¡¡111II\I:IIIIII¡I¡Ii¡II¡1ii¡i¡iii¡iiiiiiir 1 , 628 , 608 . !!IIIII¡I¡lli¡¡I¡IIIII~:I¡I¡I¡llll:I¡¡I¡I:I:llli\¡illl¡¡¡Ili::;,:;'. ::::::.:.:::..;..:.:.:.::.:.:.:.:..........:,,::~:::::.......

2 Enter your short-term totals, if any, from Schedule 0- 1, line 2. . . . . .. . . .. . . . .
3 Total short-term sales price amounts.

Add column (d) of lines 1 and 2 . .. .. . . .. 3

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

4
5 6

from Schedule(s) K-1 ....... .. .. . . .. .. . . .. .. .. .. .. .. .. . .. ... . ... .. . ... .. . . .. .. ..
loss carryover. Enter the amount, if any, from line 8 of your 1999 Capital Loss Carryover Worksheet. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

6 Short.term capital

(b) Dale acquired

(Mo, day, yr)

(see instctons)

(d) Sales price

(e) Cost or

(g) 28% rale gain or

(see instrctons)

other basis

(see instrctions below)

(1055) .

100 INTEL
8

05/30/97 05/30/00 12/03/98 01/25/00
OS/29/90 01/25/00

12,180.

4,087.
28.286.
14,395.

8.093.
21,662.

1200 MCI

49,948.
17,239.

2296 ALUA CE

2,844.
22.599.

3000 SYMME RI CON

04/14/99 05/30/00

43,874.

10 ¡~~~~~~~~'M :i:;;.~~':;J"g"Um,'... 10' ..mmi11 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. . . . . . . . . ., . . . . . . . . . . . . . . . 11

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

12 Net long-term gain or (loss) from parterships, S corporations, estates; and
trusts from Schedule(s) K- 1 ..................................................... 1 Z

13 Capital gain distributions. See instructions......... ........ ,. ...... .......... .... . 13

880.

14 Long-term capilalloss carrover. Enter in both columns (f) and (g) the amount,
if any, from line 13 of

your 1999 Capital Loss Carryover Worksheet. . . . . . . . . . . . . . . . . .

15 Combine column (g) of lines 8 through 14. .. .. .. .. . . .. . . , . .. . .. . . . . . .. . . .. . . . . . . . ,
16 Net long-term capital gain or (loss). Combine column (f) of lines 8 through 14. . . . ., ~
Next: Go to Part ilion page 2.
* 28% rae gain or loss includes all 'collectibles gains and losses' (as

defined in the instructions) and up to 50% of the eligible gain on qualified

small business stock (see instructions). BAA For Paperwork Reduction Act Notice, see Form 1040 instructions. Schedule D (Form 1040) 2000
FDIA0612 10/24/00

8

fSCX ~ii

Case 1:05-cv-01071-SGB
:1ßirtmlttW? Summa

Document 23-2

Filed 12/28/20

9 of 14
Page 2

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

220,788.

. Both lines 16 and 17 are gains and . Form 1040, line 39, is more than zero.
Otherwise, stop here.
18 If line 17 is a loss, enter here and as a (loss) on Form 1040, line 13, the

smaller of these losses:

. The loss on line 17 or
. ($3,000) or, if married filing separately, ($1,500)...,............................. ..................... 18

Next: Skip Part IV below. Instead, complete Form 1048 through line 37. Then, complete the

Capital Loss Carrover Worksheet in the instrctions if:

. The loss on line 17 exceeds the loss on line 18 or . Form 1040, line 37, is a loss.

iP..Aif\lMtlt: Tax Com utation Usin Maximum Ca ital Gains Rates
19 Enter your taxable income from Form 1040, line 39. .... .. .. .......... .... .. .. .. . . .. . ,... ... .. ....... ... .
20 Enter the smaller of line 16 or line 17 of Schedule D...............,.......... 20 154,378.

19

1,848,593.

21 If you are fiing Form 4952, enter the amount from Form 4952, line 4e. .. .. , . .., 21 22 Subtract line 21 from line 20. If zero or less, enter .0-. . . . . . . . . . . . . . . . . . . . . . . . . 22
23 Combine lines 7 and 15. If zero or less, enter -0-, .. ,... ... ..., .... ., ........ .. 23

154,378. 66,410.
O.

\I\.

24 Enter the smaller of line 15 or line 23, but not less than zero. ., ...... ..., ,. .., 24

25 Enter your unrecaptured section 1250 gain, if any, from line 17 of the 25 worksheet in the instructions. . . . .. . . . . . . . . . . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . o. 26 26 Add lines 24 and 25 . . . . . . . . . . . . . . , . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 Subtract line 26 from line 22. If zero or less, enter -0-. . . . . .. ., . . .. .. . . . . .. . . . . .. .. .. .. . . .. . . .. .. , . .. . . . . 28 Subtract line 27 from line 19. If zero or less, enter -0.. .... ,... .......... .. .. .. .. .. ...... .. .... .... .. .... 29

27 28 29

154,378. 1.694,215.

Enter the smaller of: 1
. The amount on line 19 or

43,850.

. $26,250 if single; $43,850 if married filng jointly or qualifying widow(er); . . . . . . . . . . . . . . . . . . . . . . . . . $21,925 if married filng separately; or $35,150 if head of household _
3D Enter the smaller of

.line 28 or line 29................... .......... ...... .... 30 43, 850.
643,577.

31 Subtract line 22 from line 19. If zero or less, enter .0-. . . . . . . . . . . . . . . . . . . . . . . . . 31 1 , 694 , 215 .

32 Enter the larger of line 30 or line 31. .. . . . . .. . . .. .. . . .. .. . . .. . . .. .. .. .. . ... ~ 32 1 , 694 , 215 .
33 Figure the tax on the amount on line 32. Use the Tax Table or Tax Rate Schedules, whichever applies. .... .. 33

Note: If the amounts on lines 29 and 30 are the same, skip lines 34 through 37 and go to line 38. 34 Enter the amount from line 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. ~

35 Enter th~ amount from line 30 . .. .. .. .. .. .. .. .. . . .. .. .. .. .. . . . . . .. . .. .. .. .. . 35 36 Subtract line 35 from line 34. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .... .. 36 ~ Multiply line 36 by 10% (.10). .. . . .. .. .. .. .. .. . .. . . . . . .. .. . . . . .. .. .. . . . .. . . . . . . . . . . . .. . .. . .. .. . . . . . . .. .
Note: If the amounts on lines 19 and 29

~

are the same, skip lines 38 through 51 and go to line 52.

.38
40
41

Enter the smaller of line 19 or line 27............................ .......... .38 154,378.
Subtract line 39 from line 38. . . . . . . .. . . . . .. . . .. . . .. . . .. .. .. , . . . . .. . . . .. . .. ~ 40 154, 378 .
Multiply line 40 by 20% (.20). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Note: If line 26 is zero or blank, skip lines 42 through 51 and go to line 52.
41

39 Enter the amount from line 36 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

30,876.

42 Enter the smaller of line 22 or line 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42

43 Add lines 22 and 32.... . .. . .. .. . .. .. .. .. . .... ... I 43 I
44 Enter the amount from line 19. . . . . . . . . . . . . . . . . . .. Gi 45 Subtract line 44 from line 43. If zero or less, enter -0-. . . . . . . . . . . . . . . . . . . . . . . . . 45
46 Subtract line 45 from line 42. If zero or less, enter .0-. . . .'. . . . . . . . . . , . . . . . . ., ~ 46 47 Multiply line 46 by 25% (.25). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . Note: If line 24 is zero or blank, skip lines 48 through 51 and go to line 52.

47

48 Enter the amount from line 19. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. ~8 49 Add lines 32, 36, 40, and 46. .. . . .. .. .. . . .. .. .. . . .. . . .. . .. . .. . . .. .. .. .. . . .. . 49 50 Subtract line 49 from line 48. .. .. . ... .. . . .. .. .. . . .. ., .. .. ., . . .. .. .. . . .. .. ., . 50 51 Multiply line 50 by 28% (.28).. .. . .. .. .. .... . .. . .. .. .. .. .. .. . .. . .. .. .. . . .. .. . . .. .. .. .. .. . .. . . . . .. . .. .. . 51 52 Add lines 33, 37, 41 , 47, and 51. .. .. .. . .. . .. . .. . .. .. .. . .. . .. .. .. .. .. .. .. . . .. .. . . . .. . .. . . . .. .. . .. .. .. . . 52 53 Figure the tax on the amount on line 19. Use the Tax Table or Tax Rate Schedules, whichever applies. . . . . . . 53
54 Tax on all taxable income (including capital gains). Enter

674,453.
704 , 711 .

the smaller of line 52.or line 53 here and on
FDIA0612 10/24/0

Form 1040, line 40 . . . . . .. .. . . .. . .. . . . .. .. . . .. . . .. .. .. .. .. .. .. . .. . . .. . .'. .. . . . . . . . . .. . .. . . . . .. . .. . . .. . .

54

674,453.

9

b(J0-'/~

Case 1:05-cv-01071-SGB
. :Sch-èduJêD~". .
(F orm 1040)
Departent of the Treasury
Internal Revenue Service (99)

Document 23-2
(F orm 1 040)

Filed 12/28/2006

Page 10 of 14
OMS No. 1545-0074

';vi1tinuation Sheet for

Schedule

~ Attach to Schedule 0 if you need m ore space to list transactions for lines 1 and 8.

~ See instructions for Schedule 0 (Form 1040).

2000
12A
umber

Name(s) Shown on Form i 040

HENDY J LUND & DANIEL S PIERCE

t:e¡a¡f:Mni:: Short-Term Capital Gains and Losses - Assets Held One Year or Less
propert (Example:

(a) Desription of

(b) Date acquired

(c)

Date sold

100 shares XYZ Co)

(Mo, day, yr)

(Mo, day, yr)

(d) Sales price

(e) Cost or

other basis

Subtrct (e) from (d)

(f) Gain or (loss).

iiooo

REDB CK

03/02/00 10/17/00

1,540,005 .

1,540,000.

200 REDBAC

l1l01/99 03/02/00

61,173.

2,300.

~

::::;~:;:;:::::::: ~rR~~~~tj~ :.:.:.:.:-:.:.:. :~::::::::::::" .:.:.:-

l~~
::.;

2 ~~t:~sh~~~~2~~0g~~:uf~D~~~~f)2.. ~ 2 1,601, 178 . ¡~ll~lì¡I¡llillllllllli~ílI¡lll11¡'ji¡lIÎII!:
BAA For Paperwork Reduction Act Notice, see Form 1040 instructions. FDlA0656 10120/00

10

50G,-1 ~

Case 1:05-cv-01071-SGB
S en edille -O;l(F õrml 040t2000-'" -------.-...

Document 23-2

Filed 12/28/2006

Page 11 of 14
12A
umber

Page 2

· Name(s) s~own on Fonn 1040. Do Not Enter Name and Social Security Number if Shown on Page 1.

HENDY J LUND & DANIEL 5 PIERCE

¡:g¡ffjHim:t~:lLong-Term Capital Gains and Losses - Assets Held More Than One Year
(a) Description of
propert (Example: (b) Date acquired

(C) Date sold
(Mo, day, yr)

(d) Sales price

(Mo. day, yr)

(e) Cost or other basis

(1055). (I) Gain or Subtrct (e) from (d)

100 shares YèZ Co)

or (1055) . (see instructons)

(g) 28% rate gain

400
8

INTE L

05/30/97 08/16/00
05/18/99 08/09/00
RO

27,300.
60,018 _

7,850.
2,600.
10,500.

19,450.

400

REDBAC
SUN MI

57,418.
20.523.
909.

400

01/26/99 05/30/00
UNO
F

31,023_

DISCOVERY

OS/29/98 01/25/00
--

6,830.

5,921.

_.. --- -- ----

.-

Totals. Combine columns (d). (f), and (gt 98,300. 1 25 , 1 71 .¡;¡::~ ~::::::::$::' :::~::~:'" . ~:::::~:M 9 Enter here and on Schedule 0, line 9. . *28% rate gain or loss includes all 'collectibles gains and losses' (as defined in the instctions) and up to 50% of the eligible gain on qualified
9

small busines stock (see instructions).

... , -

FDIA0656 10/23/00 Schedule 0-1 (Form 1040) 2000
11
5CX '-1'1

Case 1:05-cv-01071-SGB
Schedule ,SE (Form 1040) 2000 .
Name of Person will Self-Employment Income (as Shown on Form 1040)

Document 23-2

Filed 12/28/2006

J7 Page 2

Page 12 of 14

Social Secunty Number of Person
with

self-employment Income ~

HENDY J LUND

Section B - Long Schedule SE
¡t':"':'~;:f':':':'''';:':'l S If E I t T
im~h:;~;:~m;;~:m: e. mp oymen ax
Note. If your only income subject to self-employment tax is church employee income, skip lines 1 through 4b. Enter -0- on line 4c and go to line 5a. Income from services you performed as a minister or a member of a religious order is not church employee income. See instructions.

A If you are a minister, member of a religious order, or'Christian Science practitioner and you fied Form 4361, but you had $40D
Net farm profit or (loss) from Schedule F, line 36, and farm parterships, Schedule K-1 (Form 1065), line

or more of other net earnings from self-employment, check here and continue with Part L . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

15a. Note. Skip this line if you use the farm optional method. See instructions. . . . . .. .. . . . . .. ., . . . . . . . . .. ..

2 NetprofU or (loss) from Schedule C, line 31; Schedule C-EZ, line 3; Schedule K.1 (Form 1065), line 15a (other than farming); and Schedule K-1 (Form 1065.8), box 9. Ministers and members of religious orders, see instrctions for amounts to report on this line. See instructions for other income to report. Note. Skip this line if you use the nonfarm optional method. See instructions. , .. .. .. ., . . . . . . ., . . . , . . .. .. .. . . . . .. .. . . 2 3 Combine lines 1 and 2 . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
4a If line 3 is more than zero, multiply line 3 by 92.35% (.9235). Otherwise, enter amount from line 3. ... .. .... , 4a

2,950. 2,950.
2. , 724 .

b If you elect one or both of the optional methods, enter the total of lines 15 and 17 here. . . ., . . . . . . .. . . . . .. . . 4b
c Combine lines 4a and 4b. If less than $400, do not file this schedule; you do not owe self-employment
Sa Enter your church employee income from Form W-2. Caution: See the \ I
instructions for definition of church employee income. .. .... . ......... .. ., .. .. Sa

tax. Exception. If less than $400 and you had church employee income, enter -0- and continue. . . . . . . . . ..:.;.:.:.:.:.:.:.:.: ~ ic
:~~Ij¡¡¡¡~~t~~ .:~:::::~::::~1

2,724.
O.

Sb
6

b Multiply line Sa by 92.35% (.9235). If less than $100, enter -0, ...... .. .. .... .. .... .. .... .. . . .. .. .. .. .., .. 6 Net eamings from self-employment. Add lines 4c and 5b. . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7 Maximum amount of combined wages and self-employment earnings subject to social security tax or

2,724.
76,200.

the 6.2% portion of the 7.65% railroad retirement (tier 1) tax for 2000....... . . ., .... ........ . . . . .. . .., ,. .. 7

Sa Total social security wages and tips (total of boxes 3 and 7 on Form(s) W-2) ~ ':jij::::::::::;:::
and railroad retirement (tier 1) compensation. .. ...... ., ., .. ...:.. ..., .. .... .. Sa 76,2.00 . :::¡:jt¡j:¡~J:

b Unreported tips subject to social secunty tax (from Form 4137, line 9) . . . . . . . . . . 8b ~fmM
c Add lines 8a and 8b. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . . . . . . . . . . . , . . . . 8 c 9 Subtract line 8c from line 7. If zero or less, enter -0- here and on line 10 and go to line 11. . . . . . . . . . . . . . .. ~ 9
10 Multiply the smaller of line 6 or line 9 by 12.4% (.124)................................................... 10

76,200.
79.
0_ O.

11 Multiply line 6 by 2.9% (.029) . .. .. .. . . .. . . .. .. .. .. .. .. .. .. . .. . .. . . .. .. .. .. .. .. . . .. .. . . . . . . .. .. .. .. . . .. "
12 Self-employment tax. Add lines 10 and 11. Enter here and on Form 1040,Iine 52.. ........ .. . . ., .. _. .... ..

i 3 Deduction for one-half of self-employment ti!X. Multiply line 12 by 50% \ \
(.5). Enter the result here and on Farm 1040, line 27. . . . . . , . . . . . . . . . . . . . . . . . .. 13

(See instructions.)
IPJiII%¥.MI Optional Methods to Figure Net Earnings

Farm Optional Method. You may use this method only if:
. Your gross farm income(1 was not more than $2,400 or

. Your net farm profits(2) were less than $1,733. 14 Maximum income for optional methods ..... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
15 Enter the smaller of: two-thirds (21) of gross farm income(1 (not less than zero) or $1 ,600. Also, include this amount on line 4b above. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . . . . . . . Nonfann Optional Method. You may use this method only if:
. Your

14
15

1,600.

. You had net earnings from self-employment of at least $400 in 2 of the prior 3 years. this method no more than five times. Caution: You may use
16 Subtract line 15 from line 14. . . . . . . ; . . . , . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . . . . . . 17 Enter the smaller of: two-thirds (2ß) of gross nonfarm inCOme(4) (not less than zero) or the amount on

inCOme(4), and .

net nonfarm profits(3) were less than $1,733 and also less than 72.189% of your gross nonfarm

16

line 16. Also include this amount on line 4b above. .... .... .. .... ...... .. .. . . .... . . .. .,. . .. . ... .. ., .. ... (3) From Schedule C, line 31; Schedule C-EZ, line 3; Schedule K-1 11 , and Schedule K.1 (Form 1065), (1) From Schedule F, line (Form 1065), line 15a; and Schedule K.' (Form 1065-8), box 9. line 15b.
(2) From Schedule F, line 36, and Schedule K-1 (Form 1065),
line 15a.

17

(4) From Schedule C, line 7; Schedule C-EZ, line 1; Schedule K-1 (Form 1065), line 15c; and Schedule K-1 (Form 1065-8), box 9.
Schedule SE (Form 1040) ZOOO

BAA

FOIAIl02 111200

12

SOb ~1.

Case 1:05-cv-01071-SGB
:0 Form 6251
Departent of the Treasury

Document 23-2

Filed 12/28/2006

Page 13 of 14
OMS No, 1545.0227

...lternativeMinimum Tax - Individual~

~ See separate instructions.
~ Attach to Form 1040 or Form 1040NR.

2000
32
Number

I nLemal Revenue Service

Name(s) Shown on Form i 040

2 3

4
5

deduction from Form 1040, line 36, here and go to line 6. .. .... ...... ...... .... .. .. .. .... ... ... .. .. . . . . . Medical and dentaL. Enter the smaller of Schedule A (Form 1040), line 4 or 2-1/2% of Form 1040, line 34. . . . Taxes. Enter the amount from Schedule A (Form 1040), line 9 ... _......... .... .... .... .. .. .. .. .. . ... .. . . Certain interest on a home mortgage not used to buy, build, or improve your home. . . . . . . . . . . . . - . . . . . . . . . . Miscellaneous itemized deductions. Enter the amount from Schedule A (Form 1040), line 26. .. .. . . . . . . . - . . .

If you itemized deductions on Schedule A (Form 1040), go to line 2. Otherwise, enter your standard

1

7,350.

2
3

4
5

6 Refund of taxes. Enter any tax refund from Form 1040, line 10 or

line 21..............,...............,....,...:..,...................... _...._....................... 6

7 Investment interest. Enter difference between regular tax and AMT deduction. . . . . . . . . . . . . . . . . . . . . . . . . . . , . 7 8 Post-1986 depreciation. Enter difference between regular tax and AMT depreciation. . . . . . . , . . . . . . . . . . . . . . . . a

9 Adjusted gain or loss, Enter difference between AMT and regular tax gain or loss.. . ., . . . . ., . . .. . . . , . . .. . " 9
10 Incentive stock options. Enter excess of AMT income over regular tax income...... ... .. .... ... . .. .. .. . , .. 10 11 Passive activities. Enter difference between AMT and regular tax income or loss. . . , . . . . . . . . . . . . . . . . . . . . . . . 11
12 Beneficiaries of estates

2,824,472 .

and trusts. Enter the amount from Schedule K-1 (Form 1041), Iina 9. ,. . ... .,. . .. .. - li

13 Tax-exempt interest from private activity bonds issued after an/86........ .. .... .. . , .. .. ., , ... .. . . .... . . . 13
14 Other. Enter the amount, if any, for each item below and enter the total on line 14.

a Circulation expenditures. . . . h Loss limitations. . . . . . . . . . . . .
b Depletion, . . . . , . . . . . . . . . . . i Mining costs. . . . . . . . . . . . . . . .

c Depreciation (pre-1987) . .. . j Patron's adjustment. .. .... . .

d Installment sales. . . . . . . . . . k Pollution control facilties . , . .
e Intangible drilling costs. . . . . I Research & experimental ... .
f Large parterships. . . ., .. . m Section 1202 exclusion.. . . . .

I
:::::::::::::::::~:

g Long-term contracts. .. .... n Tax shelter farm activities... .
'N~rtif.Umt Alternative Minimum Taxable Income

;ilillill

o Related adjustents......... 14

15 Total Adustments and Preferences. Combine lines 1 through 14...... .. .... .... .. .. .. .. ., . . .. .. . . . _ . .. ~ 15
16 Enter the amount from Form 1040, line:n. If less than zero, enter as a (loss).,......................... ~ 16

2,831,822.
1.848.593.

17 Net operating loss deduction, if any, from Form 1040, line 21. Enter as a positive amount.. , .. . .. . . . . . . . . . . 17
18 If Form 1040, line 34, is over $128,950 (over $64,475 if married fiing separately), and you itemized
deductions, enter the amount, if any, from line 9 of the worksheet for Schedule A (Form 1040), line 28 .. . . .. 18

19 Combine lines 15 through 18........................................................................ ~ 19

4,680,415.

20 Alternative tax net operating loss deduction. See instrctions.. .. .. .... .. .. .. .. . . . . . . .. . . . , . . . . . . .. . . . . . . 20
21 Alternative

line 21 is more than $165,000, see instructions.). . . . . . . . . .. ... . .. .. .. .. . .. . ., .. .. . . .. . . . . . . .. .. . . . . . . . 21

Minimum Taxable Income. Subtract line 20 from line 19. (If married filing separately and ~

4,680,415.

I?¡r:mf&mExem ticn Amount and Alternative Minimum Tax
22 Exemption Amount. (If this form is for a child under age 14, see instctions.) And line 21 is

If your fiing status is . . . not over. . .

Then enter on

IineZ2.. .

Single or head of household. .. . ......... ...... .. . .. ... $112,500 ............

$33'7501
45,000 22,500

Married filng jointly or qualifying widow(er).............. 150,000............

o.

Married filing separately. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 75,000. . . . . . . . . . . . If line 21 is over the amount shown above for your filing status, see instructions.

23 Subtract line 22 from line 21. If zero or less, en.ter -0. here and on lines 26 and 28 and stop here. . . . . . . .. ~ 23 24Uyou reported capital gain distibutions directly on Form 104, line 13, or you completed Schedule 0
(Form 104) and have an amount online 25 or line 27 (or would have had an amount on either line if you
had completed Part IV) (as refigured for the AMT, if necessary), go to Part IV of Form All

4,680,415.

26% (.26). Otherwise, multiply line 23 by 28% (.28) and subtract $3,500 ($1,750 if married filing separately) from the result . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ~ 24

6251 to figure tine 24. others: If line 23 is $175,000 or less ($87,500 or less if married filng separately), multiply line 23 by

1,294,666.
l, 294,666. 674,453.
620.213.
Form 6251 (2000)

25 Alternative minimum tax foreign tax credit. See instructions. , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 26 Tentative minimum tax. Subtract line 25 from line 24. . ... . . . . . , . . . _ . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . ~ 26
27 Enter your ta from Form 1040, line 40 (minus any ta from Form 4972 and any foreign tax credit from Form 1040, line 43) .. . . . .. . _. .. 27
28 Alternative Minimum Tax. Subtract line 27 from line 26. If zero or less, enter .0-. Enter

here

and on Form 1040, line 41. . . . . . . . . .. . . . . .. , . . . . . . . . . . . . . .. .: .. .. .. . .. . . . . . .. . . . . . . . . ... . .. . . . . . . . . . ~ 28 BAA For Paperwork Reduction Act Notice, see separate instructions.
FDIA512 1012/00

13

SOto -I f.

Case 1:05-cv-01071-SGB

Document 23-2

Filed 12/28/2006

Page 14 of 14

.Form 62;1'(2000) HENDY-JlUND-.:--c-,. ,NIE;L.SPlERCLrg~ffaYfÆji Line 24 Computation Using Maximum Capital Gains Rates
Caution: If you did not complete Part IV of Schedule 0 (Form 1040), see the instructions before you
complete this part.

2

29 Enter the amount from Form 6251, line 23... .. .. .... .. .. ... . .. .. . . .. .. .. . . .. .... .. .... ....
30 Enter the amount from Schedule D (Form 1040), line 27 (as refigured for the
AMT, if necessary). See instructions.. . .. .. .. .......... .. .. .. .., . .. . ... ... .. 30

.........'..........

29 4 , 680 , 415 .

::;:::::::::::::::;:

154. 3ï8. l:t\lt=:

.:.:.;..;.:.:.:.:.:

31 Enter the amount from Schedule D (Form 1040), line 25 (as refigured for the AMT, if necessary). See instructions. . . .. .. .. . .. . .. .. .. .. . . .. ... . . . . .. . .. . . . 31
32 Add lines 30 and 31 ..................................................... . . 32

o 'I:\;'\\\\';:¡\:.\;~

33 Enter the amount from Schedule 0 (Form 1040), line 22 (as refigured for the

AMT, if necessary). See instructions.. . .... .. . .., .. .. .. . .. . .. . . . . .... ., . . .. . 33

:::::::1
154,378.
4 , 526 , 037 .

34 Enter the smaller of line 32 or line 33. . . . . . . . . . . , . . . . . . . . . . . . . . . . . . . , . . . . , . . . , . . . . . . . . . . . . . . . . . . . . . . . . . 34
35 Subtract line 34 from line 29. If zero or less, enter -0-, .. . .. . .. .. .. .. .. . . . . . ... . , .. . . . . , . . . ., . . . . . . . . .. ~ 35
36 If line 35 is $175,000 or less ($87,500 or less if married filing separately), multiply line 35 by 26% (.26). Otherwise, multiply line 35 by 28% (.28) and sUbtrpct $3,500 ($1,750 if married filing separately) from

the result .. . . . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3i

1,263,790.

: ::N~:~::~~:::,D3:::i~~:"~'36("figU"df,,~'~~ 0, I
39 Multiply line 38 by 1 0% (.10).. . .. .. .. .. . .. .. .. . . .. .. . .. .. .. . . .. .. . .. .. . .. .. .. .. .. .. .. .. .. .. .. . . .. . . . ...::::::::::::::.:.:: 39
40 Enter the smaller of line 29 or line 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
41 Enter the amount from line 38 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41
154 , 378 . ...............,
o,III\I\I\I,II'll'
::\:::\:¡::::\:::~

o.

42 Subtract line 41 from line 40.. . .. .. .. .. . . .. .. . .., .... ..... . .. .. .. . . .. . . . .. ~ 42

15 4 3 ,7 .8 ,.;.:.:-:.;.;.:-:(. :¡:¡l:ll:ll¡:llI¡1

43 Multiply line 42 by 20% (.20), . . . . . . .. . . . . . . . . . . . . . . . . . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Note: If line 31 is zero or blank, skip lines 44 through 47 and go

43
:::::;:;:::;:::;:;:: .':':':':':':':':.:' \j¡\~1\j~1¡\¡~il~¡j

30,876.

to line 48.

44 Enter the amount from line 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 45 Add lines 35, 38, and 42.. . . , . . . , . . . . . . . . . . . . . . . . , . . . . . .. . . . . . . . . . . . . . . . . . . . 45
46 Subtract line 45 from line 44. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . . . . . . 46

I
1,294,666. 1,307,016. 1,294,666.
Form 6251 (2000)

47 Multiply line 46 by 25% (.25). . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47

48 Add lines 36, 39, 43, and 47 . .. .. .. . . . . .. .. .. .. .... .. .. .. . . . . .. .. . . . . .. . . . . .. . . . . . . .. .. . . .. .. .. . . . . , . . 48
49 If line 29 is $175,000 or less ($87 ,500 or less if married filing separately), multiply line 29 by 26% (.26). Otherwise¡ multiply line 29 by 28% (.28) and subtract $3,500 ($1,750 if married filing separately) from
the result. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49
50 Enter the smaller of line 48 or line 49 here and on line 24.. .. .... ..... . .. ...... .. .. ., ........... .. . .... . 50

FDIA5312 1012/00

14

50b-( 7