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not be liable for the additions to tax under section 6651(a)(1)
and (2), petitioner contends that he had reasonable cause for
failing to file timely his return for 1996 and failing to pay
timely his tax liability for that year and that those failures
were not due to willful neglect. According to petitioner,
reasonable cause existed because:
a. Petitioner personally prepared his
federal income tax returns. He has no spe-
cial education or training which would have
reasonably led him to be aware of the tax law
which disallowed the use of his 1995 tax
overpayment.
b. Petitioner had been severely penal-
ized already by the loss of $102,033.00 [1995
overpayment of $61,151 for which he may not
receive a refund or credit and 1996 underpay-
ment of $40,882 which he must pay] which the
Government has gained.
c. The level of complexity of the issue
resulting in the loss of Petitioner’s 1995
tax overpayment is quite high as evidenced
by, among other things, the split decision of
the Supreme Court in Commissioner v. Lundy,
516 U.S. 235 (1996).
d. Importantly, Petitioner should be
given credit and awarded because he did pay
his taxes timely albeit the application of
certain tax laws prevent the use of
$61,151.00 in 1996 of his 1995 tax overpay-
ment. The Government did receive this money.
On the record before us, we find that petitioner has failed
to satisfy his burden of showing that he had reasonable cause for
failing to file timely his 1996 return and failing to pay timely
his 1996 tax liability. Petitioner is well educated and an
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